Cryptocurrency scams are a huge problem in today’s society. They often target people new to the cryptocurrency world, tricky. The best way to know if you’re dealing with a scam is to use blockchain technology and understand the basics behind how it works. This is why we’ve put together this list of all the common scams associated with cryptocurrencies. It includes phishing attacks, fake wallet notifications, social engineering, and more.
Blockchain technology is a relatively new concept with its terminology. Blockchain is a digital ledger used worldwide to record transactions, but it has unique definitions. The main difference between blockchain and the internet is that the latter has no trace of what you type or do, whereas blockchain records everything.
Here are 9 of the most common cryptocurrency scams.
Phishing Attacks
Spoofing websites that report a failure is one of the more common forms of phishing attacks. This scam mainly occurs on mobile devices using, and it’s done by moving to a website that shows their IP address as the actual website. This is done in an attempt to steal Bitcoins by taking advantage of the fact that users tend to think that a URL has been hacked when they are redirected to a spoofed version of it.
Fake Wallet Notifications
Another common scam is fake wallet notifications. In this type of scam, you’ll be led to believe your account has been verified or is being processed, but it never will. As soon as you see this message, get out of your account immediately as this is a fraud, and your funds could potentially be lost forever if you trust their explanations and continue with the transaction.
Social Engineering
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If you receive an email from a company that asks you to transfer funds to them through cryptocurrency, it’s probably a social engineering scam. Someone often starts this scam with malicious intent who has your details in their possession and will use them to get money out of you via sending fake emails and initiating transfers.
Fake Bitcoin Wallets
Another common scam is fake Bitcoin wallets sent as an email attachment, which could be one of the most underhanded things someone can do to get money from you. These emails might come with pictures and all kinds of information about the empty wallet, but there’s nothing more than an image on the computer when it comes down to it.
Fake Signatures
One of the most common cryptocurrency scams is fake signatures. This scam is done by sending fake messages on social media platforms such as Facebook and Twitter to link to a fraudulent website that supposedly has your transaction (sent through your email) signed with it. If you read through the information they provide, they’ll make it look like they have the authority to verify your transactions and ask you to send them money in return for this.
Fake News Sites
Another scam that’s quite common on social media platforms is fake news sites. These scams come with websites that have copied domains of real news sites and are designed to get you into sending your money to the wrong place.
Fake Cryptocurrency Wallets
Another quite common scam is fake cryptocurrency wallets. This is done by creating an account that looks like it comes from a well-known platform like Amazon or Facebook, but with a different name and used only for one thing: to get your attention and get you to give them money.
Fake Wallet Apps
If you receive an email telling you that there was an issue with updating your wallet, it might signify a scam. These are fake wallet apps being made available on mobile devices to lure in victims who think they’ve been scammed once again. Fake browser settings are also associated with this type of scam, so be careful.
Fake Websites
A fake website is another type of scam that is quite common. These fake websites go to great lengths to make them look authentic and often get your attention through their design and functionality. In addition, these websites often use a platform like an internet or blockchain to do their dirty work, making them more successful than other scams because they seem trustworthy.