Since 2014 ,I am analysing crypto and found it has not clear pattern where people can easily detect the kind of fraud happened on chain . Human psychology of getting more richer and affluent ,made them more vulnerable and easily got attacking .
I always trusted big crypto exchanges like Binance and Coinbase where i think my money in the form of crypto is completely safe because these exchange spends millions dollar to protect user fund by upgrading their system and security policy of log in credentials.
Recent attack and stealing fund about 6.5 Billion USD worth crypto ,Just break my belief and gives stress of safety , stress of maintaining my wealth . I am not technically strong personality also someone who research the entire pros and cons before investing their money. As common man , i simply know from word of mouth that binance or coinbase are worlds most safest crypto exchange but it seems nothing safe in the world.
Scammer keep upgrading themselves faster then exchange and crypto builder. We as a common investor or holder of any crypto which cost money ,must be aware and alert for your wealth. If you sleep without updating yourself from your surroundings then you are gone and might be caught under any such kind of scam where you gets financially big loss.
Top Trickiest Way to Scam you :
Scam on the basis of emotion:
Romance and pig butchering is such kind of trick where you get easily trapped. These people look beautiful and attractive but act sad in life . they plot some fake story and ask for help. they cry in your front and make so professional drama to gain your attention and landing goal is ask money to support in the form of crypto or even other form of money. sometimes they recommend some fake apps or investment bank where they bring you to invest to double up money and in that favor ask financially support .
Impersonation ,Extortion or sextortion are such tricks where these scammer have too much drama to show you . they make you feel that they are from reputed brand, company or relation who can favor you but need money .sometimes they send you recorded audio video or email where softly threat you to pay such amount in crypto may be bitcoin to avoid leaking those data.
I will share realistic example , one customer support person chased me from telegram group and DM me for share seed phrases so that they assist me fix my issues but failed to convince me because i was aware of such things.
In another social media platform on person claimed to double my coin if i sent to particular address .sometime they call themself as vitalik , Elon musk and satoshi .
2. Investment cheat:
Rug pull is something all the investor must know that this is most common practice of scamming people.
They launch token on smart contract on etherum ,Tron or any other blockchain then they create hype in the market about token self burning mechanism which add value in price .sometimes they create backdoor where unlimited token minting starts so that value goes zero and your entire money gone .This is mutually done with centralised exchange where they have fake volume of trade in buy and sell column .frankly if i say , they only encourage you buy token on high price and once there bank filled with money then they either dump with minted coin or disable sell button .
They drain liquidity pool from the exchange and end their project roadmap.
Ponzi high yield invest return to grab investor attention also popular scam where they offer you daily high interest withdrawal and airdrop . Some scammer launch fake mining pool where they tell you to buy mining tool to get high daily profit but at end its sad ending and running away .
3. Technical Cheat:
Lets say you withdraw Btc on the address where first 6 letters and last 6 letters you only see because you ensured that is your address and most of the time as human being we do not read properly those encrypted letters .
Scammers send zero or less value crypto transaction from address where first and last letters match . If you not so alert about your portfolio then we simply sometimes copy paste recent transaction address and try to withdraw fund and that time scammer wins
Scammer takes advantage of these care less habit from you and offer such app where they provide very similar concept of saving your password even copy paste clipboard tool
Fake app , malicious chrome extension and SDK these all tricky technical terms which smart Scammer uses.
4. Some other scam:
Criminals or scammer they steal crypto and try to convert in cash also they find someone on exchanges for quick trade for buyer or seller .
P2P exchange on Binance is real example which i recently heard from my friends that he sold Some USDT to P2P market at binance to person who had low rating . He released his USDT to him and got cash money in bank but due to criminal activity of money laundering and others , network of transaction related to him was frozen by Indian crime branch .
Resulted seller of USDT had big Financial loss Because money in his bank was frozen and huge penalty lien given to pay .
5. AI bitch intervention and crypto crime : From past few months ,stealing and fraud in crypto cases increased and it happened because of fast and accurate with enhance productivity on web . AI can create website in seconds with few prompts ,no need to pay high fee to set one app or web to make common man fool out of crypto industry . Malware and trozanised virus is now being created as quickly as creating one block on blockchain.
Recent robbery in Binance is not only involvement of human brain but sure AI is also responsible to conduct such stealing.
few AI is trying to learn how to find way to bluff you so also those are crypto investor ,avoid download any such app which runs on AI .Nobody knows once you give permission to read and access your gallery , sound and camera then it may record or screenshot such data which is very important for you .
In Conclusion, All the investor need to be extra careful if their portfolio having mostly crypto related because scamming people on crypto is far easier then scamming for stocks ,bond, gold.
govt. authority still not able to regulate well and understand well . still there is no such legal laws in most countries where you will be protected and sue legally .
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