In one of my previous posts, I wrote about the top 5 crypto scams out there. Well just like everything in life, these scammers have levelled up and evolved. It would seem that word has spread about those scams and people are aren't falling for them as much anymore. I guess this is forcing these scammers to think of new and innovative ways to scam others out of their crypto.
Whenever there's money involved with something, it obviously attracts different groups of people including the scammers, fraudsters and hackers.
As I wouldn't want anyone in the crypto space to lose their money, I'm always on the look out for crypto scams to warn others about. So when someone high up in the Monero team (Riccardo Spagni) tweets about a scam, I pay attention. His recent tweet can be found here.
Here's the tweet though:
If you didn't get that, essentially this is what happens:
1) A scammer messages you offering to sell you some crypto at a price slightly below market value. For example if Bitcoin is worth $10,000 USDT. The scammer will offer to sell it to you for $9,700 USDT.
2) You accept the offer and the scammer then says that they'll do the transfer through escrow through with one of your friends. Escrow is when someone holds the funds from both the buyer and seller. Once the escrow receives what the buyer and seller wants, the escrow will then release what the buyer is giving to the seller and what the seller is giving to the buyer.
3) The scammer will then create two separate Telegram group chats. Group chat "1" is where you, the seller, and your "friend" are in. The "friend" however is a fake account that the scammer created to imitate your real friend's account. Group chat "2" is where your real friend, the scammer and "you" are in. The scammer created an account to imitate your account to fool your friend.
4) This all happens in real time so as you can chat as you would. The scammer just relays the messages between both groups. After, the friend gives the escrow address to the seller in group chat "2." The scammer then changes the wallet address that was given in group chat "2" to a wallet address that the scammer controls in group chat "1." You then send the crypto because you thought that your "friend" who's also in the same group chat provided an address that is in his or her control and thus lose your crypto.
Riccardo then gives some tips on how you can spot these fake accounts:
1) Click on your friend's account to see if it's actually your friend who's in the chat group. If it is, you should see your chat history.
2) Call your friend up to talk to validate the address being given before sending anything.
So that's how this particular scam works. Now that I think about it, I now understand why some person on Reddit wanted to do some deal through escrow. I obviously declined because I knew it was some scammer. At the time I didn't know how the scam worked but I now understand how the scam works. Here's a picture of the chat with "Hot_Elena" on Reddit:
It's funny how the scammer tries to act all innocent and naive by saying " Help me receive the money and please be truthful and trustworthy, I will give you a share of it" only to say that it's going to be done through an escrow service. Also, why would I go through escrow if you're sending money for me to cash out for you? It's obviously a scam.
If you ever receive any direct messages on any social media platform, always be vigilant of what the person is asking or offering as there are a bunch of scammers in the crypto space.
Here's a video that I made about this scam post:
Leave a comment down below if you've ever seen any or heard of any intricate scams out there as I'd love to know what they are.
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