How to Avoid Cryptocurrency Scams? Here is What You Need to Know

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The cryptocurrency world is a lucrative investment opportunity to get into. The sector has created a new wealth stream for millions around the world through trading, job opportunities and savings options. However, one also hears quite often in the sector that there are constant scams taking place online that are robbing people of their investment either directly or indirectly.
Some of these scams are outright pyramid and ponzi schemes with big rewards and unsustainable investment returns. Other more complex scams are often crypto exchanges and wallet providers with shady workings.
Here is what you need to know to avoid cryptocurrency scams and avoid losing your hard-earned money:

Google everything extensively

Google is THE tool to use to avoid crypto scams. If a company claims to offer some services, check how they offer it and whether or not clients are satisfied online. There are countless forums as well that you can contact and see for yourself what previous users have faced on the platform and keep an eye out for scam-like behaviour. Typically, the scams take the money and then disappear or fail to keep their word. Keep an eye out for that kind of trend too.

Avoid imposter websites

Imposter websites are scam websites that look and appear like the real website but they are not the real thing. For example when you used to view Google ads before, there were adverts that redirected you to a Facebook login page. It looked like a real facebook page but its actual web address was not facebook.com but something like faceboook.com or a long link.

The only way to avoid imposter websites is to look at the URL and only enter login details when you are 100% sure it is the real website.

Check for Signs of Unsustainable Behaviour

Pyramid and ponzi schemes have one thing in common: both appear unsustainable in nature and promise unreal awards. The best way to look at any investment is not to see it as a quick-rich scheme but rather view it as a way to increase your wealth consistently with known risks. If an investment opportunity promises big returns and no risks, it is probably a scam and you need to avoid it. Take the famous case of Bitconnect, a now defunct cryptocurrency project. It was a clear cut pyramid scheme but people didn’t care and put their money in it and lost most of it. Just because an asset has become mainstream doesn’t mean it is legal or completely ethical. Remember that cryptocurrencies are a world with strong economic fundamentals and these fundamentals are universal. If a company is going against these fundamentals, it is likely going to waste your money at one point in time.

Never give ANYONE access to your private keys or passwords under ANY circumstances

Prospective cryptocurrency investors or users shouldn’t give login details to anyone under any circumstances. Your password/PIN number/secret question is an all-important combination that only YOU should know. You shouldn’t tell it to anyone especially to someone over the phone because no one is ever entitled to know it. The most online verifiers can ask you is information like your birth date, etc and that too you should provide it only when performing a certain task.

Check the company at Verifiedcrypto.io!

We have seen lots of ponzi schemes, impostor websites and scams. The best thing you could do is check the site at us – remember, what is too good to be true is not! Be safe and check all verified companies at Verifiedcrypto.io!

Image by Gerd Altmann from Pixabay

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