***SCAMS*** A Guide to Help you Hold Onto Your $$$

***SCAMS*** A Guide to Help you Hold Onto Your $$$

By Nickoshi | Nicks Dapp Picks | 25 Jan 2020

Don't let them win...

With the advent of blockchain technology, cryptocurrencies, dapps, and Defi, we have opened ourselves up to wonderful innovations that can change our lives in wonderful ways, however with new tech comes new ways for clever thieves to scam you out of your hard earned $$ in a multitude of ever-growing ways, especially during the critical "road to mass adoption" phase that we currently are in, where the average user is just learning how to use all this "newness".

This guide might help you avoid losing money to online scams


The most important thing to always keep in mind is: money flows. It goes from one person to another. For one to gain another must give. If there is no reason behind the amount of money that a program/project (or game) promises to make you, avoid it at all costs. If it seems like "magic" or is "too good to be true", chances are it isn't.


Different scams and how they might fool you


1. The Pyramid Scheme(aka Ponzi Scheme)

This is any system where your income is determined by how many other people you introduce to the system.

If you need to sign people up to earn, specifically referring to systems with no physical product that urge you to "GET IN EARLY!!", it is a 99% a scam. Because your income is purely based on those who join under / after you. This type of scam is extremely predatory by nature.


Some scams promise to give you a lot if you give them a little.

This scheme comes in various forms but ultimately it plays on desperation. They always require you to send a small amount of money for Processing, Fees, Operation costs, Investing, etc. They then promise that they will send you a lot of money or that you will be able to make a lot of money. Whenever someone says that they will give you a lot if you give them a little, run.

Investments are a great way to make a passive income, but a person must always be realistic. A loan’s interest is normally set at 13% a year. If a company / institution promise to make you even 5% a month then you can essentially borrow a million. Invest it, and simply use the loan to pay itself off. This is normally not how the real world works. Real investments always carry a certain amount of risk.

As an example: if any system claims that they can “Double” your investment, make you 1% interest a day or anything else as unrealistic, do not get involved. They will steal your money. I know you can have crazy earnings, but there is never a guarantee. I can say I have made 1000% in a month, and you might not break even.

You must also always be skeptical of testimonials. Anyone can fake great testimonials. 

For example, I will formulate a testimonial.

Jonah H: “Hey man, when I first came to your website I was really struggling financially. I read your post on making money with crypto currencies and decided to try it out. After 6 months of following your advice I was able to quit my job and have no more financial problems. Thank you so much”

This testimonial took me less than a minute to formulate. But it tells you everything you need to know.


2. Phishing Scams

Some scams want to steal your personal information / passwords / financial logins

These scams are built to simply take your information. Do not give up you identification information lightly. Some info are normal, Name, email number address. But when a website starts fishing out ID numbers, bank details or Crypto Private keys. Be very careful.

Also beware of using the same username and password for every website. A webmaster can easily set up a website registration form that seems “broken” designed to get your username and password. I have seen even the most cautious people fall for elaborate phishing, ALWAYS check the web address and make sure it is https (note the s) if you know that site should be secure, and make sure the spelling of the site is exact.


3. Malware

Some scams try and make you download malicious software

Be careful of downloading software to your computer or phones. Especially mining softwares, and softwares that promise to make you a ton of cash in short periods of time, real mining to make serious money takes serious hardware, and that app you just downloaded from the Google Play Store that claims it will make you 500$/week mining the latest coin you never heard of on your 3 year old smartphone, is definitely a scam. Some software promises to make you a lot of money but instead they are filled with viruses, backdoors and other tools used to steal information.

There are apps that can help you make money. But you will still be able to justify the money that you can make from them.

4. Impersonators/Con-Men

This is one of the nastier ones that preys on people who are normally desperate/looking for help/tech support

This scam is when someone joins popular channels in a messenger app like Telegram, with a name like "XXXX SUPPORT" (XXX being the company of the channel you are in) Say Scatter for instance, a popular desktop wallet for EOS that lets you open accounts/store funds/private keys/etc. The scammer would then join the Scatter telegram channel as "Scatter Support" and private message anyone who posts in the channel looking for help, impersonating a support agent and then beginning to extract information that they "need" to "help" you fix your problem, and shortly after draining your accounts and disappearing with your crypto. NEVER give out your mnemonic phrase, or private keys, to ANYONE, period.




When trying to make money online. Always remain skeptical and cautious. There’s a lot of money that can be made online. Honest income that you will need to work for. The best way to start building an online income is to start small and build a system that slowly makes money for you.


As a DeFi/Dapp/Crypto Entrepreneur I earn a decent income while gaming/investing, but it comes with a lot of risk and even though I can say I game for a large part of my income. It is still a grind.

For some of the Crypto Games I set my alarm to events. Then I get up at 1 / 2 AM to participate.

I say this here, because some of you reading want things like financial freedom but you feel it can be easy. And as someone who has made 5 figures (USD) from investments in under 24 hours I honestly believe, the more money you want to earn, the more you will need to push and develop yourself. There is no way around it. Your potential to earn will always be a reflection of the person you are. And if you yourself do not improve, your financial situation will not either.

Any project that that makes grandiose claims to pay you money with minimal effort will 99.9% of the time be a scam.

This much I believe. I hope these tips can help some would-be victims hold onto their hard earned $$, don't let the scammers win!



Cypto enthusiast, lover of Dapps and true decentralization. I have an unquenchable thirst for knowledge and find true joy in paying it forward and spreading the word about the latest and greatest in the space, thank you for taking the time to read =)

Nicks Dapp Picks
Nicks Dapp Picks

Nick's Dapp Picks is a space where you can count on me to bring you in on the latest and greatest from the Decentralized Application Gaming universe, covering all types of games including RPGs/Strategy/Gambling and much, much more!

Send a $0.01 microtip in crypto to the author, and earn yourself as you read!

20% to author / 80% to me.
We pay the tips from our rewards pool.