The perfect solution to scam in the crypto space

[mr_random]

I think the security is always in our hand. We don't need any application. All we know that the number of scams are continue to increase and getting worst. The safest thing to do is to make your every transactions and your private keys or password private. And do not open unknown link specially asking your personal info like password because they can get your account. Always observe because everything is possible in crypto industry.

For protecting the crypto holdings, buying a hardware wallet will solve this problem. Otherwise, sticking to the desktop, mobile wallets are an insecure method for holding the crypto assets. The crypto market is in recession, scammer also knows this and they prepare the scam projects with big opportunities for the investors. Investors jump to the scam project without understanding the principles of the project.  I don't think, regulation will be the end of the scam projects.

[Bananington]

I really like the point stated here to reduce hacks by auditing smart contracts regularly. Well, this sounds so easy but the execution is not really that easy. Auditing smart contract in two weeks intervals will make much sense but it's not a very easy task considering that there are other things to do with regards project development. So I will rather suggest once in 3 months. Also talking about scams, regulations will help but won't curb it entirely.

[akeda]

Whenever there is a solution or an idea is difficult to implement, but if it can be used to bring changes for the better. I think a standard like this should be applied immediately. We know that easy to make scams can be destroyed by fixing the rules well.

Although it should work with Governments in every country, I think for a better change, of course, it is legitimate.

[Chuky92]

You really did a good job; in the case of smart contracts auditing if it will really help or as easy as it sounds I think most exchanges will be doing such as part of their security measures; nevertheless let them give it a try if they are yet to. On the other hand, ICO regulations might be a tough one as most people believes it will to an extent make the crypto space somewhat centralized. Also, regulating ICOs does not guarantee that the project will do well on the long run, so in all it comes down to, ICO investing have its own risks which one should be aware of or keep away.

[bitkanu]

The problem is that the majority of crypto community is still against any kind of regulations. They would rather stay anonymous and live will all those scam projects, to avoid regulations in crypto world. I do not get this approach and believe we should finally do this step.

it's not the problem but the fact that it's a part of crypto when it comes to the decentralization and then the regulation will be only taking the decentralization going out from the crypto community.
You can see how South Korea's regulator was taking over the okex exchange site and delisted all of the related privacy coins from its market.
You just make crypto being centralized entity and no more.

[nanaimogold]

The rate of scam and hacks in the cryptocurrency market keeps growing at an alarming rate. In my opinion there best solution to these crimes in the cryptocurrency market are

1 ICO regulations: if there is ico regulations then investors should only invest in ICOs that are certified and meets the required standards. This will reduce the scam rates as fake ICOs will not be able to raise money for investors anymore

2 Smart contract Auditing: I think in other for coins and exchanges to avoid hacks and attacks they should constantly audit their smart contracts at regular intervals (like every 2 weeks or every month).  Doing this will help them detect the bugs and loop holes in their smart contracts and correct it before it is used by hackers.

All these are good ideas. Especially number one that has the opportunity to play a key role in sanitising the cryptocurrency market. However, there are fears that the true tenets of cryptocurrency and blockchain which is on decentralization will be defeated and also ICO regulators might abuse their powers too

[Finestream]

You offered a great solution but there are greater solution that we are currently using now, it's the IEO.
Registering an ICO while are literally thousands of them is just time consuming for the government while if only exchange will register and the government will give rules to follow on how to run their IEO, it would be easier and investors would find it a great idea since exchange could not risk their reputation and lose their opportunity to continue to operate profitably in the market.

[Twinkledoe]

You offered a great solution but there are greater solution that we are currently using now, it's the IEO.
Registering an ICO while are literally thousands of them is just time consuming for the government while if only exchange will register and the government will give rules to follow on how to run their IEO, it would be easier and investors would find it a great idea since exchange could not risk their reputation and lose their opportunity to continue to operate profitably in the market.

The OP is giving ideal solutions, yet the implementation of those solutions are not doable especially the first item. The second item is likely to be accomplished if the team is very committed to improve their platform.

IEO shows that it is not really the solution to address the potential scamming technique of dev teams. Only investors can lessen their loss by strictly doing their due diligence.

[Zemomtum]

With Smart Audit and ICO regulation implemented, SCAM will still ever exist. The regulation can never be implemented globally, some region will embrace it while some will stay away for the purpose of financial freedom which is the primary aim of Satoshi. We just need to find a way to reduce or combat it, I don't think it can be totally eradicated.

[patz22]

These may reduce scam ICOs but it doesn't that it will totally remove all of it! With regards to number 1 solution it may lessen the risk but it doesnt mean that they will scam people even though they passed any exam or audits. It will still depend once they deliver results.

[tranduong123]

1 ICO regulations: if there is ico regulations then investors should only invest in ICOs that are certified and meets the required standards. This will reduce the scam rates as fake ICOs will not be able to raise money for investors anymore

This I think has been considered for a long time, but in the past and present it is impossible to implement it effectively in the cryptocurrency space.

[The Cryptologist]

With Smart Audit and ICO regulation implemented, SCAM will still ever exist. The regulation can never be implemented globally, some region will embrace it while some will stay away for the purpose of financial freedom which is the primary aim of Satoshi. We just need to find a way to reduce or combat it, I don't think it can be totally eradicated.

I totally agree. How would anyone can agree that a fully regulated ICO will never ever do an exit scam after 1-2 years? Because few of good projects that I know are either making another project or just abandoning it because they can't fulfill any of their promises after 1-3 years of development. And the regular audit would only happen if the team are very dedicated to every aspect of their project.