Steemit Crypto Academy |Season 3 week 6 - Crypto Scams and how to avoid them

In the world of crypto, scams are very broad. Scammers can do scams in different ways and can steal all your personal information by doing scams they can get your all invest and all the money and your digital assets, we need to be careful with these scammers. They can hack your account and can transfer all of your money to another account. These scams are spread very fast nowadays. We have to be careful here are some types of scams

Scams through social media platforms

It’s the most common way to do scams by social media platforms like Facebook, Instagram, Twitter, and many other social media platforms. They will give you offers to send them a small amount of your cryptocurrency or invest in this currency and you’ll get a very big amount of Rewards to be aware of these types of scams. They can hack the account of famous social media celebrities and can spread false news it’s also a way to do scams

Scams through Emails

They can do scams through emails. They can send you emails by the name of that same company and with the same logo where you want to invest even, it’s very hard to recognize the genuine company if you found dought you can contact the supporting team of that company. They will send you the links don’t open those links otherwise they have a chance to do a scam with you

Fake Wallets And Apps
Many scammers made fake wallets and apps to scam mostly makes the duplicate apps offer the offline wallet and once you transfer your coins in that wallet those coins are not withdrawn able and can’t withdraw your coins.

ICO (Initial Coin Offering) Free Airdrops

On many social media platforms, you can see they are offering free coins and free Airdrops. They said you need to invest a very little amount in this currency and you’ll get profit but when you do that and many other investors invest in that currency they run out and get all the money.

your research on any Cryptocurrency scam.

OneCoin

source

One coin was Ponzi Scheme and it pulled 4 Billion$ just in two years in 2014-2016. The founder of this coin was Ruja Ignatova and the co-founder was Sebastian Greenwood, Ruja was disappeared but the Co-founder was arrested and he’s in Jail in the U.S. This coin was not listed on Coinmarketcap like other tokens are listed.

source

ONE COIN NEWS REFERENCE Source Available

In 2017 when the developers disappeared then the surprise began. The exchange stopped working and at that time the scam reached 20 Million Dollars. After doing this scam she runs away and her contacts, the phone is still not reachable. Still, No one can found her some of them said maybe she has been kidnapped or killed but the real truth is no one knows.

To what extent have Crypto scams affected the Crypto space?

As I said before crypto scams are very high in the world of crypto. I am going to explain some ways how the crypto space has been affected.

BAN AND RESTRICTIONS:The trading of crypto has been banned and restricted in some countries because many investors have been scammed by scammers thus the government of those countries banned crypto trading to save their citizens from these scammers. Some countries just allow withdrawal by some exchanges like Binance from P2P. It’s really affected the crypto space.

DECREASE THE PRICE OF DIGITAL ASSET: Many of the scammers after doing scams quickly transfer money into their bank accounts. Suppose, if the price of any asset is 20 Billion dollars and only just 4 investors invest 12 Billion dollars in that crypto asset and suddenly they withdraw all of their money the price of this asset going down drastically.

Negative Mentality towards Crypto:Many of the newcomers think crypto is totally a scam maybe they have been scammed by someone or they heard the news of crypto scams. They have a bad and negative mentality towards crypto. They don’t have too much knowledge about crypto. This type of negative mentality affects crypto space a lot.

Will regulations in Crypto add value to the Crypto space?

Yes, regulations can boost the value of crypto. If the restrictions by the government will end then every citizen can trade with crypto without restrictions and it’ll increase the value of crypto in the crypto world. Many investors think crypto is a fraud but in reality, they can make a big profit by investing in crypto.

Due to false news spreading everywhere they have fear of loss and with FUD they can’t invest in crypto. If the regulations will add it will decrease the chance of scams because then they can easily trace the transaction and scammers.

The registrations of the sights and exchanges can bring a positive result because then it’ll do by a controlling body and this controlling body will work as an overseer. Every crypto site would cross through this body for any type of operation..

Conclusion

Many people think that crypto is a scam but the truth is they don’t have knowledge about crypto. Many investors want to invest in crypto but when they see the false news-related scammers they had fear of loss so they didn’t invest. Many things affect the crypto space but on another hand, if we add the regulations in the crypto space we have a very low chance of risk.