He Lost His Investment. See what Happened!

[Wenbing]

How a close of mine lost his hard earned money to a bitcoin trader?

He told me how he invested some of his savings to a particular bitcoin trader in the place where he lives.

The professional trader promised to pay profit monthly which is supposed to be a fixed ROI.

It happened that the traders was actually faithful to the promised payment for a certain period.

But, the trader took the money invested with him and use it for other investment. It happened that he lost the whole money.

This became a big case between the traders and the individual investors. As it stands his money and other people's money with him had gone down the drain.

These prompt me to ask some questions:

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

3. Is Telegram escrow system a scam  or not?

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[avikz]

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

All of them are scams! If some professional trader has the capability to trade and earn a good amount of money every single day/month, why he would need other people's money? This is the first thing to understand. The behavior is very similar to ponzi schemes and must be avoided by all means.

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

3. Is Telegram escrow system a scam  or not?

Same answer is applicable here as well. If someone has the capability to predict the market, he will use his own money to become rich. Why he would sell it to the public for a little fees?

I am not sure about telegram escrow system. Do you mean it is an official feature of telegram? I haven't seen anything as such!

[joniboini]

Instead of giving your full money, doing copy-trade is probably better. The problem is this kind of feature is limited and not supported by most exchanges. But at least you don't risk losing your entire funds.

Never use signal service or trading deals, most of the time they're fake and even if it's legit, it won't last long.

[LeGaulois]

It's crazy, people are ready to spend their money if someone tells they can make money with. Your friend gave his money to someone he doesn't even know and maybe met by chance, surely without any legal contract or something like that...
There is no way a trader can promise a fixed ROI, the same way when you invest with some bank investments.

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

At least, check all the legal stuff, their records, background, etc, well, a proper due diligence

2

. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

Dude avoid Telegram, simple as that. I can't believe people go to Telegram to get trading services

3. Is Telegram escrow system a scam  or not?

There is something wrong in this world :/

[xenxen]

it is really difficult to lend money to other people especially and it is a great value.
if on the telegram he transacted you would expect many and chronic scammers there and I don't think if ever get back much to him.

How do we know if they good to do business with?

actualy we dont know how good are they and then we dont know yet the real identity.

my only advice to your friend is to take his money and learn how to handle it just learn to be trade by his own so better it safe.

[jossiel]

Your friend shouldn't allow himself to give investment capital to a trader. The profit is not guaranteed and it's always a roller coaster which means that profit is sometimes good but sometimes it's also a loss. There's no assurance that the money will be returned to him.

And if he gave his money to a trader, why not just trade on his own so that there's no one to blame but himself.

1. I think etoro platform can show this kind of stats. If you want to look to copy trades of other traders, you can see a glimpse of their trading history. That can make your evaluation easily and you can determine if they are credible.

2. Never deal with any of them.

3. Mostly, scam.

[oleg681010]

This is why I prefer to trade on my own. So that such a story doesn't happen.

[Wenbing]

<snip>
All of them are scams! If some professional trader has the capability to trade and earn a good amount of money every single day/month, why he would need other people's money? This is the first thing to understand. The behavior is very similar to ponzi schemes and must be avoided by all means.

You have responded very nicely. But what I want you to know is that some crypto experts are good entrepreneurs that always want to scale any business with innovative business models.

In this case, the trader may consider that to achieve high volume of trade then he needs other people's money which at the end of the day people will earn and he will make huge profit.

Its about scaling an idea or a business...

[bitbollo]

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

It's really hard evaluate people on their self claim.
And if you are not confident to evaluate some information by yourself it's easy that you get fooled.
Most of the times there is a simply gold rule: "If something seems too good to be true, it probably is not."
And if someone is able to get these "big earnings" (stable/fixed etc) why they are searching money from strangers on the web? It would more profitable and easy get money from friends and family.[@Wenbing of course they need to "scale" their business but why asking for hundreds of dollars by several users on the web and not asking directly to a bank? it's time consuming collect money in a such way....]
This is the same way and (fake logic) that ponzi use to operate. If they were so "profitable business" (they earn money faster then repay a debt) why they are collecting money on the web?!

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

These are just scam. Why they are selling and not using these information for a good trade?
- They collect money (selling "information") - scam - ban users
- They promote tokens - these tokens are heavily dumped
- They promote "buy A" in a chat - "sell A" in another chat (however they will win since it's like flipping a coin at a certain point)
These are only some of the way the act. It's like people that try to sell their betting predictions...

3. Is Telegram escrow system a scam  or not?

This has been discussed here https://bitcointalk.org/index.php?topic=5210233.0
I think that an escrow should have a clear history of trade/reputable and so over.
I will not make a trade using a bot as an escrow.

[leea-1334]

As aviks so rightly puts it,,, everything is a scam.

Assume everything is a lie, and you will be fine on the internet. If anyone tells you anything that you cannot verify on your own, it is a lie.

There is no such thing as Telegram escrow. No such thing as guaranteed signals. No such thing as guaranteed profit. Learn fast and well,,, crypto plus internet plus greed are very dangerous combinations.

[Wenbing]

Instead of giving your full money, doing copy-trade is probably better.

What do you mean by doing crypto trade is better? Are you saying its better for one to learn how to trade by himself instead of giving his money to the so called professional traders?

Never use signal service or trading deals, most of the time they're fake and even if it's legit, it won't last long.

Yes...signals are trends that adjust per seconds so trading with them could be very risky.

Those that play soccer games also sells some signals too. Sometimes it work while some other times it won't work.

[fiulpro]

If you are already in Bitcoins and are a trader then you should know well enough to not trust anyone .
The thing is in Bitcoins you don't need any central authority to control and monitor you , therefore you don't have to go to someone else , you can very easily do everything by yourself.
Just understand that people who promise things like that are 100% of the times scammers .
This is another benefit of Bitcoins * you don't have to be dependent on someone else * so , just use this , stay away from fake promises.

[crwth]

There are a lot of people who try to trade, learn, and get losses. I think that's natural to happen and what people need to do is learn from their mistakes and start again. What happened with this was there's a person who is "TRADING" for YOU and you have in no way responsible for what happens with the account that they have or where they invested in it.

I experienced this personally but I didn't get scammed. I trust the person but the reality is that there's no sure thing in trading. Whether you experience the profit or loss, it's still up to the market to determine if you were correct or not. You can't really blame the trader completely if he lost the trade. It's the risk management should be evaluated.

Not everything is a scam but a lot of them are. Some are even reselling the "signals" coming from another signal service. That's whack, right? Just learn and probably you could trade for yourself. Tell these to your friend.

[LogitechMouse]

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

When it comes to trading, giving your money to so called "professional" traders and hoping that they can make your money multiply is a bad idea. If they can do it and they have no intention to scam people then why do they need using their own money. In trading, it would be better if you will be the one to trade instead of unknown people.

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

Around 99% of services like this are purely scams. Trading services and signal advice are just shit and don't ever try to join their channel.

3. Is Telegram escrow system a scam  or not?

Like I said, 99% of the services that are being offered in telegram are considered scams so this is one of them too. There are many escrows here and they are trusted already. Instead of going to telegram, why just PM an escrow here.

[yazher]

Seriously this is not a good thing to do, especially when you have a huge fund. You need to think carefully on how you will get some decent amount of income from that, don't think to get a huge amount of money in a single investment and we don't need to trust other people for our money, instead, if we want to earn safely, we need to learn how to trade by ourselves. so that we can stop ourselves if things don't go as we planned and think for another solution or strategy.

[btc_angela]

These prompt me to ask some questions:

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

They're no such thing as professional traders here, they may have the experience to trade, but it doesn't mean that they are going to make profit everytime in bitcoin as it is very volatile. And the worst part of it, maybe your friend was sweet talk by this so called expert trader, so obviously this is just a scam attempt.

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

Don't bother to put money on those trading signal groups.

3. Is Telegram escrow system a scam  or not?

Don't trust verify. Besides, what the hell is telegram escrow anyways. Maybe it is just part of the whole scam attempts by cyber criminals, don't fall for it.

[pakhitheboss]

Undoubtedly it is a big loss for the investor. If I was in his or her position I would have lost it but, trading is always risky and things can go wrong sometimes. I have avoided trading because of this reason. I am not a risk taker niether am I eager to make money fast. I believe in holding and selling or buying at the right time.

I would not recommend you joining a trading signal. It is very risky and there is no guarantee that you will make profit.

[Salamstar]

The world of cryptocurrencies is full of methods and methods of fraud and no one can be trusted with absolute confidence. Many sites claim profitability by investing in them, we notice that they pay for a short period and then run away with the investors ’money, so do not trust anyone, especially on the telegram because it is full of scammers.

[Ailurophile]

First of there are so many telegram signal groups that are free and doesn't need to be paid however we should choose carefully and watch their signals if it is really worth to follow.
They would send some signals for free and you could check their last signals if their goal has been reach or are they just sending random coin and goal to their group chat.
The best way when it comes to trading is investment of time and effort don't let others do the work for you if you could also do it on your own.
Why would we rely on random strangers when we could also do it if we really want to earn we have time to train ourselves,Time to learn how to trade properly so we don't need to be hasty when it comes to money.

[Darker45]

1. How do we evaluate capability and credibility of some entities or individuals that trade for people or some professional traders who trade for people?

2. I've seen some Telegram group that sell trading services and signals advice. How do we know if they are good to do business with?

I'm afraid there might be none at all. The safest way probably is to know for yourself how trading works, and then actually observes and discusses with the trader about how everything is done. If everything is done face-to-face and you are actually seeing how the trader is actually doing his/her analyses, and he/she creates orders while explaining every step of the way, then he/she is might be credible. But then this does not happen in reality as these transactions are oftentimes done online and through unreliable referrals and all, so it is better to avoid it altogether.

3. Is Telegram escrow system a scam  or not?

Most probably a scam.