Bitcoin, the most popular cryptocurrency that exists, is now considered one of the most popular investments. But did you know that this has led to many new bitcoin scams? Yes, that is true and unfortunately, you can be a part of it if you know nothing about these scams. This article lets you know about all the types of bitcoin scams that exist.
These are the types of bitcoin scams that exist –
Phishing Scams
Always be on the lookout for phishing scams. Phishing attacks are certainly a favorite among hackers and fraudsters. As part of a phishing attack, a concerned person usually impersonates a service, business or individual simply by email or other text communication, or by hosting a fake and manipulative website that appears to be real. The goal is always to trick the victim into revealing their private advice or sending bitcoin to an address owned by a particular scammer.
Such emails often seem legitimate, but they are false in nature.
Fake exchanges
It is certainly one of the least difficult ways to deceive investors to present itself as a branch of good and legitimate internet marketing business. Well, that’s exactly what fraudsters within the bitcoin discipline are doing.
There are many such exchanges and they presented themselves as a place to exchange and trade bitcoins, but in the end they were fake. Many stock exchanges have thus distracted people from their money simply by presenting themselves as a new respectable and legitimate cryptocurrency exchange.
Fake ICOs
Along with the rise of blockchain-supporting companies, fake ICOs have become popular as a way to support these types of new companies. However, due to the unregulated nature of bitcoin itself, the door is wide open for all kinds of fraudulent activities.
Most ICO fraud has occurred by getting investors to commit to or through fake ICO websites using fake bitcoin wallets or other cryptocurrencies, or by appearing as genuine cryptocurrency-based companies.
Many have already been accused of such embezzlement, so it is better to check such wallets before you really decide to put your money in them.
Huge comeback
If you are in the trading industry, you must have known by now that huge returns are simply not possible when it comes to bitcoin trading, or cryptocurrency trading in general. Therefore, when a broker tries to promise you that your money will be doubled within a certain time frame, then the best option in such cases would be to stay away from such brokers as much as you can. They will simply take your money and run away, leaving you with nothing but sorrow and remorse.