Biggest Crypto Scams
GET A FREE CONSULTATIONWe’ve all heard about crypto scams. Hardly a news cycle passes without another digital currency fraud hitting the headlines. The problem has gotten so severe that many people ask, “Is crypto a scam?”
To make one thing clear – digital currencies aren’t inherently fraudulent. Individuals and businesses use them daily without any scandal or allegations of wrongdoing. In fact, cryptocurrencies are increasingly becoming an acceptable form of payment for goods and services.
CRYPTO SCAMS
Crypto scams have grown by leaps and bounds in recent years. In 2021, crypto scams stole a record $14 billion according to CNBC. The number of these frauds grew by 79% over 2020 and the numbers keep going up.
The best way to protect yourself against crypto scams isn’t necessarily to avoid digital currency altogether but to familiarize yourself with the different types of bitcoin frauds and crypto recovery services that can help keep your money safe on the blockchain.
Types of Crypto Scams
The following crypto scams list describes the most common types of bitcoin frauds:
WhatsApp Crypto Scam
What would we do without WhatsApp? We use it for work, to communicate with family and friends and for group messages. However, one problem with WhatsApp is that it isn’t regulated closely and it is relatively easy for spammers to infiltrate groups.
People who run crypto scams tend to meet people on social media and suggest switching communication to WhatsApp. The reason is that there is less oversight on this platform and they feel they can get away with their swindles more easily.
Crypto Mining Scam
One of the best ways of making money is to make it. This is certainly the philosophy behind crypto mining. Crypto is created through complex problems solved by computers. People who aren’t math or computer whizzes may look for a crypto mining service to make some extra money.
A lot of these crypto mining schemes are actually crypto frauds. Be careful and use only licensed services.
Crypto Romance Scams
People look for love online, but they may end up getting their pocket picked. The best way to avoid crypto romance scams is to be careful who you meet online and avoid people who ask you for crypto loans. Love and money often don’t mix well.
Facebook & Instagram Crypto Scams
NFT or non-fungible tokens are used to protect intellectual property, such as artwork, documents and trademarks. However, there are plenty of fake NFTs around. Approach NFT buying and investing with caution.
How to Succeed with Crypto Recovery
Taking precautions will help you avoid losing money to the biggest crypto scams. What if you’ve already been the target of these frauds? The answer is crypto recovery.
There is a common belief that crypto recovery isn’t possible. This isn’t true. There is confusion over the term bitcoin chargeback. Unlike credit card transactions, bitcoin transactions can’t be reversed or canceled. The only way you can get your money back from a crypto transaction is to approach the recipient and demand it back. This isn’t going to work if the other party is fraudulent.
However, the other party can be forced to give you back your money if you get the authorities involved. To do this, you’ll need a thorough crypto investigation report detailing how you lost your money and providing proof that the other party is fraudulent.