The bad actors and scammers are always hungry for a new scam. They are always trying to achieve perfection in scamming. Stealing money is their ulterior motive. The massive growth that cryptocurrency is able to get over the past few years has given opportunity to many fraudsters. That’s why the crime regarding cryptocurrency has increased since 2021.
When you take a look at the report of chain analysis which is a Blockchain data firm then you find out that these fraudsters have stolen almost $14 billion of crypto in 2021. For those who have deep interest in cryptocurrency it is important for you to understand the risks and find the ways to protect yourself from those risks.
Famous Cryptocurrency Scams
Phishing
This category includes victims from online wallets. Because the scammers are always targeting information such as your private passes or online crypto wallet. Because these parties are essential to transfer your funds within the ecosystem of cryptocurrency. The working method is the same and completely similar to fishing attempts that happen on other platforms.
Such as they create fake websites where they ask you to enter the key information. This is the process of acquiring your task. Once they get the key, they start stealing your money from the crypto wallet.
Fake Websites
This is the most famous criteria for scammers to deceive you. They create fake websites and trading platforms. These are basically fake versions of crypto wallets as well as websites. This is a famous trick where the victims cannot suspect anything. The domain names are completely similar, but they have slight differences that the user cannot see.
So when you find out that this is a completely legitimate site, then you cannot understand the difference and operate through the sites. Which means the hacker can easily gain access to your crypto wallet and their passwords. They then use this information to scam you and transfer your funds out of your wallet without you even noticing.
Fake Apps
Another common trick which scammers use to deceive the investors is by creating fake apps. They are all over in the Google play and App Store. These fake apps are normally found real quick but those apps which are real good and cannot be detected get to deceive thousands of people.
Cloud Mining
Companies often allow you to keep mining hardware which you can operate for a fixed charge. Then the revenue is going to be shared. But you put it in the theory and it means that people can mine from anywhere without having to buy anything regarding the mining software. But there are many companies that are conducting this business under scams. Which means these are ineffective. Once you go through their platform, you end up getting your wallet empty.
