How to Prevent Cryptocurrency Scams in 4 Ways

Last Updated on June 22, 2022 by KWS Adams
how do cryptocurrency scams work

Cryptocurrency scams are real and do exist in different formats.

If you haven’t yet fallen a victim to the biggest crypto scams, consider yourself lucky. Thousands of Cryptocurrency investors have been lured by scammers thus losing lots of their coins just like that.

The Cryptocurrency world is a bit confusing. Many investors fall, victims to such scams, not because they don’t know that scams exist, but rather, because they are promised higher returns thus ending up in such a mess. Scammers tend to promise higher profit margins, something that makes it easy for one to fall victim Crypto crime.

Right from the promotion and marketing of fake Cryptocurrencies including coins, websites, etc to promising a high return on investments, a lot of people have lost real money in the name of investing without being protected.

In Kenya’s neighbor Uganda for example, there is a time when everyone thought that Dagcoin, Onecoin, and lots of others on the list were likely to replace the UG shillings anytime sooner. This was because of the way scammers were mass promoting and marketing the coins promising the investors to become rich and richer once they invested.

Was it not because of the Bank of Uganda’s statement about digital currencies, I don’t know what would have happened by now – in fact, many of those who bought coins in exchange for cash lost, and the promoters are nowhere to be seen.

How Do You Identify A Fake Cryptocurrency?

Taking the known genuine Cryptocurrency offers aside for example those of Bitcoin, it is almost impossible for one to tell that such a Cryptocurrency is a scam.

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However, by carefully looking at what is promised, for example, guarantee for higher profits, fraudulent giveaway offers most on the different channels, HYIP, social network scam investment introductions, crypto-only payments, etc., you are able to tell that this is likely a fake Cryptocurrency.

Protecting Yourself from Crypto Scams

  • Avoid requests to make payments via cryptos only
  • Don’t click on unknown links
  • Never share your coin wallet access
  • Don’t invest quickly because of profit promises

Final Word

There are several reports about Crypto scams. For example, the Bitcoin format of scamming is kind of tricky that many may not easily understand that they are targets. If you really want to be protected, you must be vigilant. Sometimes it costs you to share with others since they may already be knowing and help you identify that what you were venturing into wasn’t legit. Be on Telegram, Twitter, Facebook, etc, there are tons of scammers hunting for you. They will introduce you to their list and if you aren’t lucky, you will be a victim asap. But you can easily avoid and identify such by following some few instructions as shared above.

How to Prevent Cryptocurrency Scams in 4 Ways

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