Bitcoin Scams and How to Remain Clear of Them?

The growing popularity of Bitcoin and other cryptocurrencies have not only invited genuine investors to the crypto sphere but has also resulted in sneaking of scamsters in this technology domain. The number of use cases of digital coins has increased, but along with that, we are also witnessing some of the most infamous scams happening in the crypto industry. Many people tend to blame the cryptocurrencies for loss, although it will not be a wise move to blame the technology. Rather we need to remain vigilant and aware of the various methods adopted by scammers to befool people and looting their hard-earned money. Before giving you detailed information about how to remain safe with your cryptocurrency investment, it only makes sense that you should apprise yourself with some of the most notorious and disreputable scams that had already happened in the crypto world.

Different Crypto Scams

We all are aware of the threat that malware poses to our computer system, network, or cybersecurity. But things become even worse when it comes to the vulnerability of our crypto investment to malware. Cryptocurrency clipboard hijackers are one of the most dangerous malware that is capable of infecting the system by swapping addresses of the cryptocurrency receiver with its own address. This simply means that instead of crediting the receivers’ account, cryptocurrency will go into the account of the scammer once the transaction is done. Another kind of potential threat emerges in the form of fake cryptocurrency exchange. A suitable example in this regard was BitKRX, which posed itself as a genuine branch of real Korean exchange (KRX). BitKRX used false affiliations and lured investors into investing and trading through its fake exchange, but thankfully the entire scam was exposed in 2017.

People who are eager to make money also fast sometimes got caught in Ponzi Bitcoin schemes. Consider the example of MiningMax, which offered its customers daily return on their investment. The South-Korean website, which was not registered under US regulatory bodies, also promised people to pay them a referral bonus in case they bring others and make them invest in their investment scheme. The investment requirement was $3200/day for two years and one could earn $200 as a referral bonus. The scam was reported in 2017 and around 14 people were arrested by authorities in South Korea on allegation of duping investors.

Initial coin offerings (ICOs) have also been used by the scamsters in the past to dupe investors of their money. It is easy to get tricked into ICOs as the cryptocurrency sphere is unregulated and there is no authority/centralized control to check the credentials of ICOs. These ICOs lure investors to invest in their projects and sometimes also got some famous celebrities on their side to promote their coin project.

Safeguard Measures

It is important to safeguard your hard-earned money, and in order to steer clear of any kind of cryptocurrency fraud, you need to become a smart investor. Believe us, it is not a difficult thing to do as you need to take some basic precautions white, keeping in mind primary rules while investing in Bitcoin or other cryptocurrencies. As a smart investor, you must keep yourself abreast of all the latest happenings in the crypto world, especially red flags that industry experts and financial analysts keep on highlighting from time to time. Double-check the information before investing in any cryptocurrency-related project and get as much information as possible – this is the sure-shot way to remain ahead of scamsters. Bitcoin Era is one of the safe trading platforms which can make you earn good profit without any loss. You can check further more on the question like is Bitcoin Era media legit? from the official website or review.

Conclusion

In getting yourself protected from scamsters and fraudulent practices in the cryptocurrency world, knowledge is the most important tool that can come to your rescue. Keep on enhancing your information about the cryptocurrency world and do not fall into the trap of making quick money as the greed of having everything instantly is something we should avoid to keep our investment safe.