Millions of dollars have been lost in cryptocurrency-related scams. And its growing value is promising for investors, but at the same time it is appetizing for hackers. In an unregulated world, scammers can easily win. So get to know the most popular crypto asset scams today, so you can avoid losing a lot of money.
One of the reasons why there are large losses in cryptocurrency scams is due to the little or no regulation they have. In addition, the worldwide interest they have caused scammers to design new ways to do fraud, phishing and other scams. Consumers who want to get rich in an almost “magical” way are the most vulnerable. Here are the most popular crypto asset scams.
List of the most popular crypto asset scams
Ponzi Scheme
In this case, scammers call on consumers to invest in a wonderful project, which will bring them great returns in a short time. It begins to build a network where many users circulate money in a nonexistent project, under the promise of becoming rich in record time. Data forgery is the order of the day and scammers have found in cryptocurrencies the ideal breeding ground for this type of fraudulent scheme.
What should you do to avoid it?: know that no type of cryptocurrency can guarantee you large returns, since all have a volatile character. That which seems “too good to be true” is because it is not.
Fake celebrity and his exciting tweet
This is one of the most popular crypto asset scams, as cyber criminals pose as a well-known celebrity. Then they create a profile on social networks where they make a tweet or an exciting post, where they encourage users to invest in a certain project, with the promise of obtaining a juicy return. The problem is that everything is fake: both the account and the project and they are actually depositing directly to the scammer.
What should you do to avoid it? go to the real source. If you see that a very famous celebrity is asking his followers to invest in a cryptocurrency project, look for various networks that certify it. Generally, by placing the information in Google you can know if it is a fake news or not.
The e-mail that will impersonate your identity
Another of the most popular crypto asset scams is the sending of emails or text messages where there is a certain link for a suspicious action. It may be:
- Confirm a suspicious login on another device, to protect your wallet or confirm your data.
- Claim a prize that certain exchange is doing to its followers.
- A celebrity offering miraculous returns.
However, when you click on the link you will find that scammers have taken over the data stored on your mobile device. Everything gets complicated if you keep passwords in browsers, for example.
What should you do to avoid it? never click on links sent to you by e-mail, if you are not sure who sends them. It doesn’t matter if the logo or page information comes out, it’s best to call directly on the phone or just ignore the message. Also, don’t believe in prizes or celebrities who have suddenly decided to offer money. Don’t store your passwords on your computer… Just in your head!
The cloned app
Many of the applications where cryptocurrencies are traded are cloned and uploaded to stores. By believing that this is the legitimate app, you will install malware on your device that will take over your identity… and your money.
What should you do to avoid it? avoid downloading suspicious applications on your phone and look for legitimate links on specialized cryptocurrency sites. Look at the names of web pages and applications, since they usually have some small detail that goes unnoticed, since users surf very quickly on social networks. For example, instead of binance.com could be bniance.com.
Exchange hacking
Finally, the most discouraging crypto asset scams are those that go to the heart of the exchange. Users stay “on foot” while the company promises to resolve. However, it is not known how long they will do it or whether they will achieve it since most of the time it is millions of dollars.
What should you do to avoid it? look for projects that stand out for their safety and that have average popularity. While it is true that some “ghost” projects can give sudden results, this is not the rule. Avoid falling into collective traps.