Saturday, October 16, 2021

Be Aware of these Cryptocurrency Scams Before Investing

Cryptocurrency is one of the biggest financial trends as it can be quite profitable in today’s world. With this new digital money,Be Aware of these Cryptocurrency you can purchase, sell and even invest in the trading market easily. 

The biggest benefit of using cryptocurrency is that it is not governed by any centralized authority which means your transaction is secured,Be Aware of these Cryptocurrency anonymous, and quick. While investing in crypto has proven to be quite useful, cybercriminals have found ways to scam, trick, and cheat crypto investors into their fraudulent activities. 

Even though blockchain-powered technology offers high security, hackers have found ways to sneak into your digital wallets and hijack your crypto assets. If you are interested in Be Aware of these Cryptocurrency crypto, Best Crypto Exchange in Australia has reviewed some of the best exchange platforms that will help you get started quite easily. 

So before you invest in crypto, make sure you are aware of these scams:

Imposter Website By Invest

One of the most common forms of scamming someone is by creating an imposter website or a fake website. Criminals create sites that promise huge returns or guaranteed returns with fake testimonials. People of all ages at some point become victims of these sites as they resemble the original website completely. 

The best way to avoid these phony websites is by noticing a few features, firstly a small lock icon which is located at the beginning of the URL bar symbolizes security. And second, if there is no ‘HTTPS’, then don’t bother continuing on that site. 

Phishing 

Everyone has an email ID these days, which makes it easier for hackers to scam people online. This type of scam has been done in different industries and forms. It starts with an email that offers crypto investment opportunities that involve a lot of money. These emails usually have a ‘click on this link’ icon or an urgent request to complete payment. 

There are several ways you can avoid this kind of scam by identifying certain branding designs or logos and the email address since scammers tend to impersonate trusted brands and send fake offers and discounts. If you have any kind of doubt, ask a friend or colleague before taking things ahead.

Cryptocurrency Scams Before Investing

Fake Apps  For Invest

Cybercriminals are quite skilled and they tend to impersonate many things efficiently. Another common trick used by these scammers is by creating fake cryptocurrency apps that are very identical to the actual one. It has been reported that over 10,000 people have fallen into this fake apps scheme and lost crypto assets to scammers

Once users download these apps, any payment made goes straight to their scammers. The best way to avoid this is by noticing any strange branding design or misspelling in the name or description.

Exit Scam

This scam is very similar to the Ponzi scheme where an illusion of profitable investment is created. Likewise in an exit scam, criminals pretend to offer a new crypto token that is said to be the next new big thing. However, once users invest in these schemes, the fraudsters run away with all the money which is usually untraceable

These scammers can use a variety of material to promote their plans and raise the desired money from investors as initial coin offerings (ICO). So if you find any scheme that seems good to be true, then take a step back and figure out whether it is real.

Cryptocurrency

Celebrity Endorsement 

Impersonation is one of the most common types of scams where fraudsters disguise themselves as celebrities, businessmen, or even billionaires. They create fake accounts or profiles using images or videos of these celebrities to promote their fake crypto investment opportunity

They target several people on social platforms and link them to professional-looking websites where they convince people about their crypto investment scheme. Once they have accumulated their desired target, they close their account, sell their shares and disappear with all the money. 

How to Avoid Crypto Scams By Invest

Cryptocurrency is highly volatile and sophisticated so make sure that you protect your investments at all costs. 

  • Choose the right digital wallet that has a private key only privy to you, If any firm asks for it then it is most probably fake.
  • If the deal or investment opportunity is too good, then consider doing some research before your initial investment. Guaranteed returns and high returns are two common phrases used by fraudsters. 
  • Avoid any social media advertisement on crypto investments as they are mostly frauds. They use images of billionaires, celebrities, and other well-known people in the world without their consent. 

Final Thoughts

Above all, take your time in choosing the right crypto asset. Do all your research on the token, its value and look for any fraudulent indications. Once you are satisfied with all the details and find it legitimate, look out for these 5 things before you invest in cryptocurrency.

Latest news

Related news

LEAVE A REPLY

Please enter your comment!
Please enter your name here