Understand how cryptocurrency scams work?

[Ninsel]

This cryptocurrency scam is made quite attractive to greedy people. For example, an unknown group of entrepreneurs is running the iCenter bot scam, which is a Ponzi scheme for Bitcoin and Litecoin, which provides no information on investment strategies, but somehow promises investors a 1.2% daily return. The iCenter scheme operates via group chat on Telegram. Starting with a small group of scammers, they get referral codes that they share with others, on blogs and on social media, wishing them to join the chat. Once there, newcomers see an uplifting and interesting message from the original scammers. Some of the newcomers decided to invest, where they were tasked with creating individual bitcoin wallets in order to store bitcoins. They agree to wait some time period - 99 or 120 days - to receive a significant return. During that time, newcomers often used social media to share their own referral code with friends, bringing more people into group chats and into investment schemes. When a new person joins, the person who recruits will get a percentage of the new funds, and the cycle continues, paying the previous participant each new round of investors. Some members are working very hard to raise new funds, posting video tutorials and pictures of themselves holding large sums of money to entice them to join the scam.

Some scammers commit outright scams. The founders of the scam cryptocurrency OneCoin scammed investors of $ 3.8 billion by convincing people that their non-existent cryptocurrency is real. Other scams are based on impressing potential victims with jargon or special knowledge claims. Global Trading Scammers claim they are taking advantage of the price differences on various cryptocurrency exchanges to profit from what is called arbitrage - simply buying cheap and selling at a higher price. Global Trading also uses a bot on Telegram - investors can send balance inquiry messages and get responses with false information about how much is on their accounts, sometimes even seeing balances go up by 1% in an hour. With returns looking like that, who could blame others for sharing the schemes with their friends and family on social media?

Another popular scam technique is called an "initial coin offering (ICO)." A potentially legitimate investment opportunity, ICOs are essentially a way for startup cryptocurrency companies to raise money from future users: In return for sending active cryptocurrencies like bitcoin and ethereum, customers are promised a discount on new cryptocoin. Many of the initial coin offerings turned out to be cryptocurrency scams, with organizers engaging in sneaky plots, even renting fake offices and creating fancy-looking marketing materials. In 2017, a lot of hype and media coverage about cryptocurrencies gave rise to a massive wave of ICO scams. In 2018, some 1,000 ICO attempts collapsed, costing at least $ 100 million. Many of these projects have no original ideas - more than 15% of them have copied ideas from other cryptocurrencies, or even plagiarized supporting documentation.

Investors looking for returns in the new technology sector are still quite attractive in the blockchain and cryptocurrency sectors - but should be careful, as they have quite a complex system. Newcomers and experts alike can potentially fall victim to cryptocurrency scams. In an environment like the current cryptocurrency market, potential investors must be very careful to research what they are putting in, and be sure to find out who is involved and what the real plans are for making money - without tricking anyone else.

[militiariko]

There is no direct or concise manner in which crypto currency scam works; there are different methods employed in the past; and different methods emplpyed today; if we bring into consideration both events; they are different from one another. So how do you avoid crypto currency scams in the future ? AVOID It totally.

You need to credit the source for your post though; it is against the forum rules. Always do your own research and ensure that you do not let greed and emotions be your guide.

[Atang Sulaeman]

the initial basis for following a project is to research in as much detail as possible, who is the owner and who supports it,
and indeed the experts and newcomers are very many victims of project fraud, all back to yourself wanting to invest in a
new project or continue a proven project that works and survives.

[shaiksajidbasha123]

This cryptocurrency scam is made quite attractive to greedy people. For example, an unknown group of entrepreneurs is running the iCenter bot scam, which is a Ponzi scheme for Bitcoin and Litecoin, which provides no information on investment strategies, but somehow promises investors a 1.2% daily return. The iCenter scheme operates via group chat on Telegram. Starting with a small group of scammers, they get referral codes that they share with others, on blogs and on social media, wishing them to join the chat. Once there, newcomers see an uplifting and interesting message from the original scammers. Some of the newcomers decided to invest, where they were tasked with creating individual bitcoin wallets in order to store bitcoins. They agree to wait some time period - 99 or 120 days - to receive a significant return. During that time, newcomers often used social media to share their own referral code with friends, bringing more people into group chats and into investment schemes. When a new person joins, the person who recruits will get a percentage of the new funds, and the cycle continues, paying the previous participant each new round of investors. Some members are working very hard to raise new funds, posting video tutorials and pictures of themselves holding large sums of money to entice them to join the scam.

Some scammers commit outright scams. The founders of the scam cryptocurrency OneCoin scammed investors of $ 3.8 billion by convincing people that their non-existent cryptocurrency is real. Other scams are based on impressing potential victims with jargon or special knowledge claims. Global Trading Scammers claim they are taking advantage of the price differences on various cryptocurrency exchanges to profit from what is called arbitrage - simply buying cheap and selling at a higher price. Global Trading also uses a bot on Telegram - investors can send balance inquiry messages and get responses with false information about how much is on their accounts, sometimes even seeing balances go up by 1% in an hour. With returns looking like that, who could blame others for sharing the schemes with their friends and family on social media?

Another popular scam technique is called an "initial coin offering (ICO)." A potentially legitimate investment opportunity, ICOs are essentially a way for startup cryptocurrency companies to raise money from future users: In return for sending active cryptocurrencies like bitcoin and ethereum, customers are promised a discount on new cryptocoin. Many of the initial coin offerings turned out to be cryptocurrency scams, with organizers engaging in sneaky plots, even renting fake offices and creating fancy-looking marketing materials. In 2017, a lot of hype and media coverage about cryptocurrencies gave rise to a massive wave of ICO scams. In 2018, some 1,000 ICO attempts collapsed, costing at least $ 100 million. Many of these projects have no original ideas - more than 15% of them have copied ideas from other cryptocurrencies, or even plagiarized supporting documentation.

Investors looking for returns in the new technology sector are still quite attractive in the blockchain and cryptocurrency sectors - but should be careful, as they have quite a complex system. Newcomers and experts alike can potentially fall victim to cryptocurrency scams. In an environment like the current cryptocurrency market, potential investors must be very careful to research what they are putting in, and be sure to find out who is involved and what the real plans are for making money - without tricking anyone else.

i know so many information  about crypto currency and first time Project coming it's real Projects now Projects is good potential and good team have then so many people are jion this project then increase members and started pre sale tokens then getting so many amount from members then Projects ower things way are giving tokens let's stop the project and its a calling is scam

[DrBeer]

In order not to get caught up in the hands of dishonest crypto market players, you must:
- common sense
- understanding that no one will just make you a millionaire
- any investment is a risk. And we need to reduce the risk assessment and manage them
- the desire to make money quickly and without doing anything - this is one of the key reasons why people fall into the clutches of scammers.
Understand the simple principle - nothing comes out of the void! Someone has to pay for everything!
And even in a good project, you need to invest money and effort, and only then will it bring multiple profits

[Wenbing]

One of the measures or solutions put in place to curb crypto scam is the escrow system. This helps to determine the authenticity of a transaction before the two parties receives a settlement of their transaction.

Well, i personally suggest that we could be scammed if we don't have accurrate knowledge in crypto .

[Eddyc]

An interesting thought, but unfortunately there are different ways of fraud and we can see the number of frauds that we find in the market. Many projects with a strong community and fundamentals of development and suddenly the developers disappear with all investment from investors. However, knowledge and solid research are the ideal basis for not falling into ambushes.

[MiningBattalion]

You had made a wonderful work by this post.Many scam telegram group was organized by huge people like trading company and Mining company and asked you to send certain amount as initial and they say will add your bitcoin address to mining and scam you at the last.

[mu_enrico]

This cryptocurrency scam is made quite attractive to greedy people. For example, an unknown group of entrepreneurs is running the iCenter bot scam, which is a Ponzi scheme for Bitcoin and Litecoin, which provides no information on investment strategies, but somehow promises investors a 1.2% daily return. The iCenter scheme operates via group chat on Telegram. Starting with a small group of scammers, they get referral codes that they share with others, on blogs and on social media, wishing them to join the chat. Once there, newcomers see an uplifting and interesting message from the original scammers. Some of the newcomers decided to invest, where they were tasked with creating individual bitcoin wallets in order to store bitcoins. They agree to wait some time period - 99 or 120 days - to receive a significant return. During that time, newcomers often used social media to share their own referral code with friends, bringing more people into group chats and into investment schemes. When a new person joins, the person who recruits will get a percentage of the new funds, and the cycle continues, paying the previous participant each new round of investors. Some members are working very hard to raise new funds, posting video tutorials and pictures of themselves holding large sums of money to entice them to join the scam.

Some scammers commit outright scams. The founders of the scam cryptocurrency OneCoin scammed investors of $ 3.8 billion by convincing people that their non-existent cryptocurrency is real. Other scams are based on impressing potential victims with jargon or special knowledge claims. Global Trading Scammers claim they are taking advantage of the price differences on various cryptocurrency exchanges to profit from what is called arbitrage - simply buying cheap and selling at a higher price. Global Trading also uses a bot on Telegram - investors can send balance inquiry messages and get responses with false information about how much is on their accounts, sometimes even seeing balances go up by 1% in an hour. With returns looking like that, who could blame others for sharing the schemes with their friends and family on social media?

Another popular scam technique is called an "initial coin offering (ICO)." A potentially legitimate investment opportunity, ICOs are essentially a way for startup cryptocurrency companies to raise money from future users: In return for sending active cryptocurrencies like bitcoin and ethereum, customers are promised a discount on new cryptocoin. Many of the initial coin offerings turned out to be cryptocurrency scams, with organizers engaging in sneaky plots, even renting fake offices and creating fancy-looking marketing materials. In 2017, a lot of hype and media coverage about cryptocurrencies gave rise to a massive wave of ICO scams. In 2018, some 1,000 ICO attempts collapsed, costing at least $ 100 million. Many of these projects have no original ideas - more than 15% of them have copied ideas from other cryptocurrencies, or even plagiarized supporting documentation.

Investors looking for returns in the new technology sector are still quite attractive in the blockchain and cryptocurrency sectors - but should be careful, as they have quite a complex system. Newcomers and experts alike can potentially fall victim to cryptocurrency scams. In an environment like the current cryptocurrency market, potential investors must be very careful to research what they are putting in, and be sure to find out who is involved and what the real plans are for making money - without tricking anyone else.

Quoted for future reference (if needed).
Archived.

Your post is very similar to this article https://theconversation.com/how-cryptocurrency-scams-work-114706
Next time don't just paraphrase some article without citing the source.

[isaac_clarke22]

Scams are gonna everywhere, mate.
Even things involving money in social media, it happens.
You mentioned also ICOs and that's the reason why they started disappear now especially back in 2017 where they boomed and started todecline.
Looking for project is quite harder than ever now.




Edit:

~

Quoted for future reference (if needed).
Archived.

Your post is very similar to this article https://theconversation.com/how-cryptocurrency-scams-work-114706
Next time don't just paraphrase some article without citing the source.

Didn't notice that until I searched the OP's content as well in Google.
Might be using article spinner? 

[irixo10]

I will really commend your efforts but scams in the crypto space can happen In many other ways, that is, just as there were scams during ICO days, IEO and DeFi also had and still having theirs, also there are even airdrop scams. In addition, I think one of the driving force which makes many people to be victims of these scams is greed, that is, being contented will go a long way in helping people to be safe from scam platforms offering unreasonable returns on investment, trading crypto groups promising sure gains with their trading signals as well as giveaway and airdrop scams. Another driving force is lack of information, if one lacks the right information about an upcoming projects, he will likely fall into the hands of these scammers, that is, before investing, ask the right questions, check the neccessary information about the team and so on.

[drlukacs]

I want to add some of the ways to scam newbie money on Twitter and Telegram. Currently, there are still quite a few trading pool funds opened without clear information about the team, but they promise to pay 1% (or more) daily interest. They often release images with big win orders and lots of money, which increases the trust of newbies and after they send money they will run away.
So I just want to remind newbies that never trust anyone on this Crypto market, Of course, money will never come to us so easily.

[AnonBitCoiner]

It's better to stay away from such scam. Especially their will be a trading bot scam. Most of the trading bot may failed to predict the 16700$ fall. I was dam sure about it. Mostly the trading bot work good at the stage of dump and pump beginning. They can't predict correctly most the time.

[Silberman]

There is no direct or concise manner in which crypto currency scam works; there are different methods employed in the past; and different methods emplpyed today; if we bring into consideration both events; they are different from one another. So how do you avoid crypto currency scams in the future ? AVOID It totally.

You need to credit the source for your post though; it is against the forum rules. Always do your own research and ensure that you do not let greed and emotions be your guide.

Avoiding scams is relatively simple, avoid all coins except for bitcoin and altcoins like etheruem, never give your private key to anyone, download your wallet only from the official sources and then verify it has not been modified in anyway or form, do not deposit your money in new exchanges and casinos and avoid any investment opportunity no matter how attractive it may seem, if you follow those tips then you are going to eliminate 99% of the scams and you will be able to get the most out of your coins just when you needed them the most.

[republicrypto]

unrealistic profit from any site link will indicate as a scam my friend
so, you don't need to be worry, if you drop your money in good and solid altcoins project now,
and always do your own research before invest in any cryptocurrency project
regards

[kaseygriffin]

Why they can scam? look at the projects you talk about are projects that attract people to invest in that project and hope to get a high return. That is the problem of greed or psychology of fomo following the crowd in the market. I have been a victim of such projects too, and i see most people recognize the scam in this market when they have lost money .

[Genemind]

Scammers are being creative nowadays, usually, they roam around platforms where crypto enthusiasts are, and they target newbies. Some would pretend to be a support in certain telegram group, or pretend to be an admin who asks for private keys, etc. Some would randomly chat with you and ask for help withdrawing a certain amount from an unknown trading platform telling you they couldn't withdraw due to an IP ban or blocked. Just beware and be aware, anything that promises you quick bucks is a red flag.

[Reatim]

Scammers are skilled and bright Person and just happen that they choose to use their ability in Wrong manner in which scamming .

Those Big time scammers are well organized and i believe same groups are running around this market and just Continue Creating different approach to Victimized crypto investors.

What we need to do is understand their ways and make sure that you are familiar so you won't get Hooked by them.

[uneng]

It's quite simple: just don't invest in something which doesn't have any practical usage and avoid passive investments which doesn't explain with property from where it generates profit.
For newbies it's not so easy to spot bad investments, but after you acquire some experience you can do this easily, especially when spotting traditional scams, such the ponzies and ico ones you mentioned. However scammers are very smart and don't repeat the same schemes forever. As crypto currency evolves, their methods evolve as well. So we may face new kinds of scams in the future, which can also trick the average experienced investors.

[DrBeer]

Scammers are skilled and bright Person and just happen that they choose to use their ability in Wrong manner in which scamming .

Those Big time scammers are well organized and i believe same groups are running around this market and just Continue Creating different approach to Victimized crypto investors.

What we need to do is understand their ways and make sure that you are familiar so you won't get Hooked by them.

"Skillful and cunning" scammers cannot exist without stupid and greedy consumers. Stupidity leads to ill-considered steps, a superficial assessment of the project, and greed says "come on, now we will quickly and simply earn x1000". This is what scammers use! Well, plus - the entrance to this market is virtually free for anyone! Look at the stock market and ordinary exchanges - it is very difficult to become a trader there.