HOW TO KNOW THE IDENTITY OF ALL ICO SCAMMERS

[Lawrenzoo]

I woke up this morning and just wondering how i can be of assistance in this race of making the ICO clean, because ICO is not what is bad, the scam being done is what is making ICO bad.

So let us pick it from this point, a scammer draft a whitepaper to get people's attention, innocent investors pays money to the scammers through Ethereum address, the scammer gets the transfer into his own wallet, he then transfers it to another wallet on a local exchange that will convert it to FIAT and transfer it to the scammer's traditional account.

What if we trace it from here, at least the account was transferred to a wallet, Local exchanges should be able to scan through their database to see the bank the scammer transferred the money to when he requested for withdrawal, at least investors knows the address they transferred the money to, which can be disclosed to exchanges to use for further research.

To make my point clearer, let me use an example, MR JOHH has ETH in is abc123 wallet, i asked MR JOHN to transfer money to my account from his address, the token from MR JOHN abc123 wallet landed in my wallet address abc700, and then i transferred it to the wallet address of my local exchange abc800 which is LUNO to chnage to FIAT and transfer to my account, LUNO should be able to trace my details to my bank since they have my KYC done already and since the receiving bank too has the details. i.e abc123 to abc700 to abc800 to scammer bank, bank to be contacted throug legal means to disclose the scammer information for authority to use.

[florac9]

Not that easy as you said ,what gives you the assurance that the scammers ETH address is from fiat platform like luno? Let me give you my own example ,scammers don't use a single ETH address ,they will surely have another wallet they use separately to change to fiat but since there will be third party address the scammer can easily denied that he both the coins from the unknown third party address which the innocent victims deposited in.

[semes]

Not that easy as you said ,what gives you the assurance that the scammers ETH address is from fiat platform like luno? Let me give you my own example ,scammers don't use a single ETH address ,they will surely have another wallet they use separately to change to fiat but since there will be third party address the scammer can easily denied that he both the coins from the unknown third party address which the innocent victims deposited in.

I completely agree. We can't really identify that it is SCAM or not. When they leave the project we will be understand, but it is already too late.

There were a lot of project which stolen a lot of money people in here. Sad but true.

[Bitbtc8]

The only way I know of is not something possible,is there a way that crypto address can implemented users KYC? Of cos no way ,but that seems to be what could solve this crypto crime we all facing presently, just think about it, with every address you generated you must verify with user I.D this will erase scammers off for good but I guess its never going to be possible

[kaya11]

I woke up this morning and just wondering how i can be of assistance in this race of making the ICO clean, because ICO is not what is bad, the scam being done is what is making ICO bad.

So let us pick it from this point, a scammer draft a whitepaper to get people's attention, innocent investors pays money to the scammers through Ethereum address, the scammer gets the transfer into his own wallet, he then transfers it to another wallet on a local exchange that will convert it to FIAT and transfer it to the scammer's traditional account.

What if we trace it from here, at least the account was transferred to a wallet, Local exchanges should be able to scan through their database to see the bank the scammer transferred the money to when he requested for withdrawal, at least investors knows the address they transferred the money to, which can be disclosed to exchanges to use for further research.

To make my point clearer, let me use an example, MR JOHH has ETH in is abc123 wallet, i asked MR JOHN to transfer money to my account from his address, the token from MR JOHN abc123 wallet landed in my wallet address abc700, and then i transferred it to the wallet address of my local exchange abc800 which is LUNO to chnage to FIAT and transfer to my account, LUNO should be able to trace my details to my bank since they have my KYC done already and since the receiving bank too has the details. i.e abc123 to abc700 to abc800 to scammer bank, bank to be contacted throug legal means to disclose the scammer information for authority to use.

You need proofs first to sue someone, and that whats the banks needs for them to give the personal informations of the owner of the bank. There are lots of things to do and crypto scam investigations are way harder than normal money laundering scams and frauds. If the banks are being played, then it could mean that any information you wish to acquire from them are certainly not possible.

[Sharon121212]

Let's take for example a scammer organises an ico project and its turned out to be a scam or let's use the official term it fails he/she (the scammer) can say the project failed due to poor market conditions so it's just going to affect there reputation but if we investors can learn how to invest wisely we can stop this scammers from earning

[bttmember]

Yes scammer can be tracked by this method but for that you need real verified transaction details and also the exchange should be very responsive and helpful, on the other hand it is seen that these scammers are smart and they use multiple wallets and sell on multiple exchanges or locally as otc so that is why it is very difficult to track them.

[fndsr]

I woke up this morning and just wondering how i can be of assistance in this race of making the ICO clean, because ICO is not what is bad, the scam being done is what is making ICO bad.

So let us pick it from this point, a scammer draft a whitepaper to get people's attention, innocent investors pays money to the scammers through Ethereum address, the scammer gets the transfer into his own wallet, he then transfers it to another wallet on a local exchange that will convert it to FIAT and transfer it to the scammer's traditional account.

What if we trace it from here, at least the account was transferred to a wallet, Local exchanges should be able to scan through their database to see the bank the scammer transferred the money to when he requested for withdrawal, at least investors knows the address they transferred the money to, which can be disclosed to exchanges to use for further research.

To make my point clearer, let me use an example, MR JOHH has ETH in is abc123 wallet, i asked MR JOHN to transfer money to my account from his address, the token from MR JOHN abc123 wallet landed in my wallet address abc700, and then i transferred it to the wallet address of my local exchange abc800 which is LUNO to chnage to FIAT and transfer to my account, LUNO should be able to trace my details to my bank since they have my KYC done already and since the receiving bank too has the details. i.e abc123 to abc700 to abc800 to scammer bank, bank to be contacted throug legal means to disclose the scammer information for authority to use.

of course it is very difficult to accuse a project that is fraudulent, we must first analyze, usually the bitcointalk member has reviewed it in the https://bitcointalk.org/index.php?board=83.0 section

in harmony before falling into the ponzi scheme we must know that crrptocurrency calm understanding works and understands the risk of investing

[maydna]

Your example is easy to say, but it's hard to do. How if they use the third party in their local area to convert fiat? That will be difficult to trace since you don't know who is the third party person who receives the token. It needs a lot of things to clean the scammers, and it won't end in a short time. It's related to many people, and you need to trace one by one of the wallet so you can find the real scammers and track him down.

Besides that, they should have prevented from being traced by anyone, so they could use the fake identity to cover their action especially if they are expert in their field.

[Tipstar]

I woke up this morning and just wondering how i can be of assistance in this race of making the ICO clean, because ICO is not what is bad, the scam being done is what is making ICO bad.

So let us pick it from this point, a scammer draft a whitepaper to get people's attention, innocent investors pays money to the scammers through Ethereum address, the scammer gets the transfer into his own wallet, he then transfers it to another wallet on a local exchange that will convert it to FIAT and transfer it to the scammer's traditional account.

What if we trace it from here, at least the account was transferred to a wallet, Local exchanges should be able to scan through their database to see the bank the scammer transferred the money to when he requested for withdrawal, at least investors knows the address they transferred the money to, which can be disclosed to exchanges to use for further research.

To make my point clearer, let me use an example, MR JOHH has ETH in is abc123 wallet, i asked MR JOHN to transfer money to my account from his address, the token from MR JOHN abc123 wallet landed in my wallet address abc700, and then i transferred it to the wallet address of my local exchange abc800 which is LUNO to chnage to FIAT and transfer to my account, LUNO should be able to trace my details to my bank since they have my KYC done already and since the receiving bank too has the details. i.e abc123 to abc700 to abc800 to scammer bank, bank to be contacted throug legal means to disclose the scammer information for authority to use.

And there's not just single currency involved. They do convert it into different currencies specially through instant exchanges that doesn't require an account like shapeshift and convert them online into other form of digital fiat currencies. They would avoid bank as much as possible and for larger sums would use offshore tax heavens to whiten the money.

[Siren]

You talk as if these scammers didn't anticipated all this things?man you are just young in this crypto world

These scammers knows everything and expected all the possible ways for them to be put behind jails

So what they do is learn each steps on how they cannot be traced and for the record only the stupid and fool scammers are being caught and the experts are still enjoying what they are doing

[r32godzilla]

First of all they have to prove their identities for example on ICOBench where you can see ID report from the team.
Secondly they shouldn´t have big soft cap, they should manage their project without big investments needed. Less money raised in ICO, bigger market cap after ICO means higher returns.

[Pet240]

~

This is a good and beautiful suggestion, but it will work if only those exchanges are ready to help in apprehending the scammer. They might start thinking that who do they release those details to. So i would suggest that if there is a central body, such as SEC, that will carry out the investigation after reporting to them.

This is also an issue, there are exchanges that do not appear transaction details whenever you transfer to them, so how will you know if it is an exchange wallet?

[Serve20]

I think the only possible means through which will can know the full identity of all ICO scammers is the enforcement of third-party kyc for all the team members of a project and this should be the new normal of the industry. With this in mind, any project team will think twice before trying to do anything funny with investors funds.

[Crypto Girl]

You need proofs first to sue someone, and that whats the banks needs for them to give the personal informations of the owner of the bank. There are lots of things to do and crypto scam investigations are way harder than normal money laundering scams and frauds. If the banks are being played, then it could mean that any information you wish to acquire from them are certainly not possible.

And banks won't be helping it anyway. They don't easily do it and it needs a lot of verification and process towards the claim and besides they wouldn't disclose it just because someone said that they got scammed by that account holder and will just end up not recovering the money.

The least we can do now yet wise is not to invest in icos and just spend our money in most established coins.

[ivaf]

No, that won't work. In order to get some information from the exchange, you need a request from the police.
But you can go to the police. Why? Because nobody stole anything from you. Cryptocurrencies do not have official status. And those "candy wrappers" that you transfer to the network, officially have no value.
Here is such a confusing situation.

[tiang_tower]

I think the only possible means through which will can know the full identity of all ICO scammers is the enforcement of third-party kyc for all the team members of a project and this should be the new normal of the industry. With this in mind, any project team will think twice before trying to do anything funny with investors funds.

Actually this is a good suggestion, but who checks the KYC from the third party? because sometimes the examiner must also be honest and neutral in things like this, because this involves personal matters that are given to everyone.

[Reid]

So many steps to do. I am sore just reading it. 


I guess it will now depend on the new platform they are making now which is more secured.
Now, are they really going to pick that choice or will they just stay with the old ICO platform.
Investor side, I guess they will be the to make it happen. If no one will participate in an ICO project then we might really reach that cleanliness that you are urging to happen.

[icalical]

The quickest way to determine if an ICO is to find out whether their team members is a real person, through looking at their social media. Some, of really stupid ICO scam use random photo and random name for their team members, and it's easy to be tracked. However some ICO scammer have a real person, if that is the case you can check if their key members like Founder/CEO, Blockchain specialist, or ICO Advisors has several previous experiences. If they have experienced member, it is less likely to be scammed, however you still need to determine whether the ICO are going to be successfull or not, to do that you need to research deeply their whitepaper and other technical stuff of their project.

[Jpti]

I think there are rarely ways to identify scammers. If there are clear ways, no reports of investors being scammed have taken place. People fail to identify scammers until the last moment. I have seen many so called good projects ending up scammers. In fact, I have been scammed out of hundreds of dollars from scammers. Strict regulations and set standards are required to discourage scammers.