How to spot cryptocurrency Bitcoin scams trying to steal your money
AS Bitcoin and other cryptocurrencies rise in popularity, so too have crypto-related scam operations and phishing attempts.
While the growth of Bitcoin has skyrocketed some bank accounts, it’s also fueled the growth of crypto-related fraud operations.
The FTC reported that since October of 2020, nearly 7,000 people have reported losses of more than $80million in the US due to cryptocurrency scams.
That number is around 12 times, or 1,000percent more than reported losses from the period a year earlier.
Here are some of the red flags that may signal a Bitcoin scam so you can protect your crypto wallet.
POSING AS AN AGENCY OR BUSINESS
Many phishing scams will attempt to impersonate a government agency or business to get your attention.
Some reports to the FTC said victims were contacted by scammers pretending to be the Social Security Administration and asked them to deposit money into Bitcoin ATMs.
Other victims lost money to scammers posing as the cryptocurrency company Coinbase.
GIVEAWAY SCAMS
Giveaway scams often pose as celebrity or well known figure and ask victims to send Bitcoin, promising to send back a much larger amount.
Many giveaway scams are marketed over social media, attempting to connect through Facebook, Twitter, or Instagram.
For instance, victims reported sending more than $2million to scammers impersonating Elon Musk.
DATING APPS
Some scam operations have even started using dating apps to reel in potential targets.
In some reports, scammers would pose as a long distance love interest sharing a hot new crypto opportunity.
About 20percent of the money reportedly lost through dating scams in around the last year involved cryptocurrency.
FAKE WEBSITES
Another widespread scamming technique is websites that appear to be a new cryptocurrency mining operation or investment opportunity.
These sites encourage investors to wire in money, sometimes offering investment “tiers” and promising greater returns.
But when users attempt to withdraw their cash, they are unable to, and told to input even more cryptocurrency.
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Read more: https://mcc.exchange/2021/09/12/how-to-spot-cryptocurrency-bitcoin-scams-trying-to-steal-your-money/
Text source: MCC.EXCHANGE
