Recently there was a huge scam in which Twitter accounts of prominent figures like President Barack Obama, Joe Biden, Elon Musk, Bill Gates, Kanye West, and Michael Bloomberg getting hacked. It was actually a type of cryptocurrency scams where fake tweets were put on their verified accounts to reach a larger audience.
In the fake tweet, followers were asked to send money to a particular address using Bitcoin and in return, they would get twice the amount. This type of cryptocurrency scam is quite common and you should be aware of all the fraudulent methods scammers resort to for tricking unsuspecting people. This is why I have compiled various different ways on how to avoid cryptocurrency scams:
- Fake Crypto Investment Platforms
- Giveaways Scams Via Tweets & Other Social Media Updates
- Scamming Emails, Phishing, Technical Support, Impersonation Scams
- Investment Scams
- Loader or Load-up Scams
- Initial Coin Offerings (ICOs)
- Unregulated Brokers & Exchanges
- Bitcoin Trading Systems
- Mining Scams
- Pump and Dump schemes
Let’s discuss these in detail:
How To Avoid Cryptocurrency Scams?
1. Fake Crypto Investment Platforms
There is a large number of fake websites or mobile apps that have been created to resemble authentic crypto investment companies. But there are several ways to identify a fake website. For instance, you should always look for the small lock icon indicating security near the URL bar and avoid sites that have no “https” in the site address. Sometimes, attackers create a fake URL by replacing one letter of the address. For instance, they can replace a zero in it instead of the letter ‘o’ which can lead you to a fake site.
Another common method used by hackers is to create fake mobile apps that have similar names and UI as the authentic ones. Before you enter your login credentials on any platform, you should double-check whether the app or website is a safe and secure one.
2. Giveaways Scams Via Tweets & Other Social Media Updates
Just like the recent fake cryptocurrency scam that took place on Twitter, one can fall prey to dubious schemes via misleading tweets or Facebook or any other social media updates. If you see a social media post offering a cryptocurrency deal that’s too good to be true, the chances are that it’s fake.
3. Scamming Emails, Phishing, Technical Support, Impersonation Scams
Now this one is a common method that each one of us must have come across. You probably get a lot of spam emails or calls impersonating your bank and trying to fish out your login credentials or other sensitive info. Similarly, attackers can show up as your legitimate cryptocurrency company in your inbox with identical logos and branding.
They often come with malicious links or files so you should never click on a link inside such emails or messages. Scammers go as far as to announce fake ICOs, or initial coin offerings, to steal funds. Don’t fall for these fake emails and website offers. Take your time to look over all the details. Also, keep these…