3 Types of Cryptocurrency Scams and Tips To Spot Them


“Always look for the fool in the deal. If you don’t find one, it’s you.”


The crypto space has been growing steadily and attracting a lot of attention lately. On one, this is great news for all crypto users and holders. On the other, there are groups of individuals who are preparing to scam in different and creative ways. This article will introduce 3 types of cryptocurrency scams and how to identify them.

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Introductory Statement



  • Scammers in the crypto space are extraordinarily creative in their techniques and strategies, they are always adapting and changing their scams, this article only is not enough to be equipped with all the needed information to protect yourself. So, do more reading and research about this broad topic to protect yourself in the future.
  • To be safe in the crypto space is to not take any information for granted and to be always skeptical, especially if someone is promising a get-rich-quick opportunity.



Anyone who has been interested in cryptocurrencies and made some investments have come across some kind of a scam. Do you still remember Bitconnect or Onecoin who have promised to change the lives of many people with their pyramid schemes, people lost their savings and some got depressed.


Twitter Cryptocurrency Scams


This usually includes an account of a celebrity or leader in a certain field that might not be closely related to cryptocurrency. Scammers hack the account of a famous person with a huge fan base and then ask people to send cryptocurrency to their wallet for some kind of reason like helping a charity or funding a project.




There are many ways in which hackers/scammers get your personal information and gain access to your crypto wallets or exchange account. One way is by making you download a hidden malware that opens a backdoor in your device. Another way is by sending you a fake login page to your email to attain your information (Private keys, security detail, and so on).

Exist Scheme


This is the most common type of fraud which is similar to Ponzi Schemes. This basically works when the “founders” of a project create so much hype about their project to gain as much exposure as possible to attract as many victims, they usually use names of famous people and target newcomers. Once they raise the money they disappear. For example, Bitconnect raised more than $4 billion using the same strategy. This scheme is also applied by fake exchange platforms.


How To Spot These Scams (Questions to ask)


Scammers are great at making their fake projects look credible and attract people’s attention. One of the ways to be good at spotting these scams is to study the previous ones like Bitconnect.

1) Who’s behind the cryptocurrency project

Never hand your hard-earned money to an entity that you don’t know, if the names are not shown or don’t have any public records, do not bother looking more into the project.


2) Fake Partnerships

Sometimes cryptocurrency projects will include a partnership with Google, Facebook, Microsoft, Apple, or whatever big name in the tech world just because their employees use those products. So, be aware and make sure the partnerships are real by doing your own research.


3) Fake Featured on Forbes

Some projects will mention that they have been featured in a famous magazine, but in reality, those are just paid posts and sponsoring campaigns used by scammers to add more credibility.


4) Check The Reviews

It is worth looking for people who give their honest opinion about cryptocurrency projects and especially those who don’t put their reputation on the line so they cannot risk it by promoting a crypto scam.


5) To The Moon

If there is too much positive news and guarantees about the return on your investment, you might want to take a second guess.


I hope you enjoyed reading this article and brought you some value in your cryptocurrency journey. Feel free to share other ideas, tips, or strategies to identify crypto scams. 


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