Cryptocurrency Scams: You need to look out for – 2023

The Information Technology industry is growing significantly. Per the report of various business companies, the total worth of the IT industry in 2022 is 9,258.51 billion dollars, which will constantly increase. But the problem is where Industrial growth and liberalization are increasing. The IT sector serves its services amazingly, whereas some greedy people tend to misuse their technical powers. We call them scammers or hackers commonly. The word scam is generally found or heard during various financial frauds. For instance, if someone steals another person’s money, in that case, that person will be called a scammer. But it’s not like that; in fact, a scam is different. This blog will tell you about the reality and harsh outcomes of the world’s biggest cryptocurrency scams. 

Did you know that the world’s top scam, where hackers easily steal people’s hard-earned money, comes under cryptocurrency scams, and it’s leading the list? 

Some people already believe that Cryptocurrency is a spammy thing or technology where no one has a right to track or regulate transactions, which couldn’t be far from the truth. Let’s dive in with the overview of Crypto scams, along with their major types and ways of identifying one.

What Is Crypto Scam?

The primary reason people fall for a crypto scam is their lack of knowledge. Hence, they need to understand cryptocurrency and blockchain to protect themselves from such scams. Millions of people wish to become billionaires overnight, which is quite strange and almost impossible. It’s hard to survive in such circumstances where we see digital scams everywhere, and this lack of knowledge will destroy you and your future. 

Crypto fraud cases usually happen because of people’s substandard decisions and lack of knowledge. as a result, scammers have the upper hand and use their shortfalls as an opportunity. Crypto frauds and scams come in various sizes, and among them, the most common is the Bitcoin bonus email. In this method, they send you an email newsletter containing a title like, you got a bitcoin bonus email offer. This type typically includes an enticing offer such as “Click on the link to avail this opportunity.” 

So, when someone clicks on the link, their information directly recorded and is shared with the hacker. Bitcoin investment scams also involve fake advertisements. In this method, hackers run fake PPC campaigns to execute hacks, targeting only those who block websites via VPN or any other proxy browser. These examples are just a start.

The list of types of crypto scams is very long. Continue reading as we discuss some common types of cryptocurrency scams.

Types of Cryptocurrency Scams

There are various crypto scams; some are common, and most of us would have heard about them from someone or even on the Internet. Sometimes hackers take advantage by creating fake cryptocurrency lists or trading platforms to fulfill their evil purposes, which is why you must carefully understand this section. Here are some world’s most common types of Cryptocurrency scams:

  • Bitcoin Bonus scams
  • Bitcoin Investment scams
  • Ponzi schemes 
  • Exit scams
  • Crypto scam phishing
  • Rug Pull crypto trading scams

Bitcoin Bonus Scams

In this fraud, scammers use their extraordinary technical skills to hack someone’s mobile phone, bank account, or trading account. They usually use incorporate standard techniques of hacking. 

Firstly, they will gather all your online information from various mediums, such as your social channels. Moving forward, they create fake accounts and send friend requests. Now, they will send you misleading information that leads to cryptocurrency or trading scams. Please avoid it in all forms and never accept such requests. 

Bitcoin Investment Scams

In Bitcoin Investment scams, hackers claim themselves as investment managers and promise huge returns on crypto investment.

Recently, bitcoin investment scams occurred in the northern Chinese region, where police arrested digital money laundering hackers involving more than 1.7 billion US dollars. This crypto gang executed the fraud by pyramid scheme (MLM) method by converting all bitcoins into stablecoins. Furthermore, the Chinese government took an immediate decision and banned all kinds of crypto trading operations in the country. However, China is the 4th largest crypto market in the world, and it’s tough for the people of China, who have already lost almost 1.7 billion dollars.

Ponzi Schemes

A Ponzi scheme is another type of crypto scam where usually the parent company promises a high return valuation to secondary investors. These schemes are performed using pyramid techniques. 

In a nutshell, crypto trading scams involve fraud companies implementing pyramid schemes to manipulate investors. They also ensured that the risk factor in such projects stays deficient while the returns are high, and that’s how they entice people to invest in such frauds.

Exit Schemes

An exit scheme is also a fraudulent crypto trading scam occurring in cryptocurrency exchanges, which abruptly shuts down all their operations and steals all the funds invested. 

The creator in Exit Schemes usually disappears with the money, leaving investors with no resources and funds. Exit schemes are a hot topic when it comes to cryptocurrency scam lists because the number of exchanges and investors is increasing daily. Additionally, it doesn’t require much investment. 

Crypto Scam Phishing

In the crypto scam world, millions of hacking experts implement phishing techniques to steal people’s money. Phishing is a common standard where scammers gather information for illegal purposes. 

Furthermore, hackers launch their attack as a bitcoin bonus email or any bitcoin bonus scam document where a fake malicious code is inserted. When the targeted person clicks on the email link, they are redirected to a malicious page that looks exactly like the real one. Here, they are instructed to share personal information like wallet address, account number, etc. All this sensitive information is directly shared with the hacker on his computer, and that’s how crypto fraud cases happen in reality.

Rug Pull Crypto Trading Scams

In rug pull methods, scammers “pump up” a new project, non-fungible token (NFT), or coin to attract investors. The fraudsters vanish with the money after obtaining it. These bitcoin bonus scams assets’ software forbids anyone from selling bitcoin after buying it, leaving investors with a worthless investment. 

To earn Cryptocurrency, investors had to play. People would purchase tokens for online games and then sell their extra earnings for other cryptocurrencies. Trading eventually ceased, and the funds vanished. As individuals tried but could not, the token value fell to zero. 

Man In the Middle Cryptocurrency Scam

Scammers can access bitcoin users’ private information when they log in from a public place. Any data exchanged over a public network, including passwords, bitcoin wallet keys, and account information, is susceptible to interception by scammers. A hacker can obtain this private information whenever a user is logged in by employing a man-in-the-middle attack strategy. Utilizing a virtual private network to block the middleman is the most effective defense against these assaults (VPN). All transmitted data is encrypted via the VPN, preventing hackers from accessing personal data and stealing Cryptocurrency.

These listed types of crypto scams are just one example where many crypto fraud cases happen daily. So learn and read properly before investing.

Employment Opportunities and Dishonest workers

Scammers frequently act as recruiters to access crypto wallets. They pull off this trick by offering a desirable job while requesting cryptocurrencies in exchange for work-related training. There are other scams involving the utilization of remote workers. For example, North Korean IT freelancers are attempting to take advantage of remote job opportunities by putting up outstanding resumes and stating that they are based in the United States. The North Korean fraud that targets cryptocurrency companies was alerted to by the US Department of the Treasury. These independent IT contractors look for cryptocurrency work and use access to currency exchangers. To raise funds or steal information for the Democratic People’s Republic of Korea, they hack into DPRK systems. Additionally, these professionals perform other sophisticated IT jobs and apply their ability to obtain insider information to further the DPRK’s harmful cyberattacks.

Fake Cryptocurrency List

In this format, scammers use a website cloning strategy to clone any cryptocurrency exchange and add fake lists. This type of website is slightly different by domain names. These fraudulent websites will even permit your initial withdrawal of a modest sum. The sites first appear to be completely real when you get your initial deposits and a few investments that appear to be profitable. More than one million investors lose money by using fake cryptocurrency list exchanges. The primary strategy behind this dilemma is that bitcoin bonus email hackers use this tactic because of high greed. To identify legit Cryptocurrency, you need some knowledge of the technical analysis process. Technical analysis is a process used by crypto experts to predict any coin movement or price fluctuation. This process will help you to analyze any specific crypto coin validation. 

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  15. Dapp.tokenpocket-pro.orgdapp. 

Here is the fake cryptocurrency list for your future assistance.

What Is Bitcoin Mining Scam?

The digital currency mining process is one of the wealthiest opportunities for people willing to invest their money in digital assets. Bitcoin mining is not a scam, but some technical criminals use this opportunity to manipulate the natural process. Some legit websites offer ASIC miner technology used for bitcoin mining. On the other side, some of the illegitimate websites also use the same technique but for fraud. They attract users via social media platforms and send them some phishing webpages links. When the person tries to log in, all the details are directly sent to the person behind this scam.

Is Bitcoin Bonus A Scam? 

Surprisingly almost all bitcoin fraud cases happen because of the crypto bonus strategy. 

A phishing email is from a cryptocurrency website. It informs you that you have won some free Bitcoin or have been chosen to participate in a fantastic promotion to obtain free Cryptocurrency. The email frequently prompts you to click a link and provide your personal information. The fraudster can access your computer and turn on a keylogger simply by clicking the link. As a result, anything you type on your computer will be stored on their computer (personal details and passwords). This type of crypto scam is old. Now hackers are integrating new techniques for stealing. 

How to Spot A Bitcoin Scammer?

It’s hard and almost impossible to recover money or coins from scammers. Cryptocurrency payments are only refundable if law enforcement agencies can still help their citizens. Institutional investors are constantly raising this point. That’s how we can stop such types of electronic fraud. However, cyber experts and researchers are still working on adding more security to blockchain technology. Still, this technical fraud eventually happens because of people’s foolishness. 

Cloud Token Scam Review

The latest cloud token scam review is recent. Chinese law enforcement agencies arrested 72 scammers with links with the cloud token scam review community. In 2018 crypto influencers/reviewers launched a cloud token (CTO) as a coin management payment system. Still, they just found this token to fool the people. We added this cloud token scam review to acknowledge affected people. 


What’s a Crypto Scammer?

It’s a type of Ponzi scheme integrated by a technical scammer. Because of fewer investment opportunities, these fraudsters can easily attract people. It’s a harsh reality that many white-collar people have done this type of scam. 

Can I Recover Funds From A Crypto Scammer

Cryptocurrency transactions are usually held via a decentralized transaction process, meaning no one can track the transaction details. So you can’t recover your money if cryptocurrency scams steal it.

Final Thoughts

In this blog post, we tried our best to guide you about technical crypto scams. As you read, how many people are lost or affected by these scammers, and there is survival left behind? You need the best technical knowledge if you want to kickstart your career in the digital world. Is it more accessible than you think but not too challenging also? There are many resources available online which help you in career growth as well as in systematic investment. Some of the top popular crypto exchanges held workshops and webinars for those interested in crypto investment. Also, you can learn about blockchain technology and its implementation in real-world problems. Top cryptocurrency scams were held from 2020 to 2021 because of the bearish market. But if you know and also an investment, the crypto market is a fruitful investment for you. But before investing your hard-earned money in digital assets, at least take basic knowledge of technical analysis. 

We at Distinguished work with top custom software development companies in complete technical fields. We have a list of top software development companies already serving their best service around the globe. 

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