The cryptocurrency industry is developing rapidly, and this growth attracts scammers and fraudsters just as quickly. We want to share our experience with you and warn our clients against possible financial losses.
Before diving into the main fraud scenarios, it’s important to understand the difference between Authorised Fraud and Non-Authorised Fraud:
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Authorised Fraud: The victim is tricked into authorising a payment.
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Non-Authorised Fraud: Payment is made without the customer’s consent, using illegally obtained personal information.
Below is a list of well-known cryptocurrency fraud schemes along with additional tips for staying safe:
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Forex Brokers and Account Managers:
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Warning: If you are contacted by a forex broker, account manager, or investment adviser who suggests investing with bitcoin, do not send any coins until you have verified their legitimacy.
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Advice: Research the company online by searching for reviews or scam reports (e.g., “Company XXX review” or “Company XXX scam”).
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Red Flag: Never trust someone contacting you through social media platforms like Facebook, Instagram, or TikTok, and be cautious if they ask for advance “fees” before promising a profit.
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Tip: When communicating via Skype or similar, insist on a video call and request the office contact number.
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Fake 911 Calls:
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Alert: Scammers now make fake emergency calls and claim to represent emergency services, asking for bitcoin payments.
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Key Point: An emergency will NEVER ask you to send money in cryptocurrency.
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Cloud Mining Scams:
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Caution: Legitimate cloud mining services should not require you to send bitcoin upfront to generate profit.
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Advice: Inquire if they accept bank transfer payments. If they hesitate to share personal or bank details, this is a major red flag.
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Technical Support Scams:
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Warning: If a so-called technical support representative contacts you via phone and requests your documents or personal details through a webcam, it is likely a scam.
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Key Point: Genuine companies will NEVER ask for such sensitive information in this manner.
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Government Authority Impersonation:
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Caution: Scammers often pose as officials from agencies like the IRS or Inland Revenue.
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Key Point: Government authorities will NEVER ask for cryptocurrency payments.
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Tip: If contacted, verify their identity through official channels or contact your local police.
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Video Games and Online Marketplaces:
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Warning: If you are buying or selling game items and the seller insists on bitcoin, research their background thoroughly.
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Tip: Check reviews on gaming forums or websites to confirm the seller’s reputation.
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Third-Party Services:
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Advice: When ordering goods or services where bitcoin is accepted, search for feedback on the vendor before proceeding.
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Important: Do not share personal information, your government ID, or card credentials online.
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Caution: Be skeptical of any offer that promises a quick profit (e.g., “Wanna do fast $200?”) in exchange for your personal information, as a full set of personal identifiable information (PII) can be sold for as little as $50, potentially leading to greater losses later.
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Dating Sites:
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Warning: Avoid making financial payments to online acquaintances whom you have not met in person.
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Tip: Be cautious if a relationship accelerates rapidly or if someone asks for money to facilitate a visit or to support themselves financially. Romance scams are common, and recovery of funds in such cases is extremely rare.
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Payment Recovery Agencies:
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Advice: Do not rely on agencies promising to help recover funds lost in previous scams.
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Key Point: Contact the recipient directly for a refund first. If unsuccessful, report the fraud to your local cybercrime authorities:
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For Europe: Europol Report a Cybercrime
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For the USA: IC3 Complaint
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Important: Remember that cryptocurrency transactions are irreversible.
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Airbnb Scam:
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Alert: Be wary of phishing websites designed to mimic Airbnb. Fraudsters may ask for bitcoin payments for rental deposits.
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Advice: Double-check the URL and verify the agent’s email or contact number on Airbnb’s official website before making any payment.
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Additional Tips to Protect Yourself
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Never provide a stranger remote access to your computer.
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Verify any contact’s legitimacy using independent sources such as a phone book, past bills, or an online search.
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Avoid clicking on hyperlinks in unsolicited messages or emails, even if they appear to be from trusted sources.
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Do not respond to unsolicited requests for your personal or financial details—simply delete the message or hang up.
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Keep your devices and network security up to date by using a good firewall and the latest software patches.
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Always verify website URLs carefully to ensure there are no extra or misspelled words that might indicate a fraudulent site.
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Research the company or service by checking online reviews and license numbers. Look for any complaints about scams or money losses.
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If you are new to cryptocurrency, invest time in learning how it works to better recognize potential scams.
How Scammers Typically Contact You
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Direct calls or personal visits
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Social media contacts: via Skype, Telegram, Instagram, TikTok, and Facebook.
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Phishing websites that look authentic.
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Impersonation of government authorities through messages, calls, or emails.
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Collecting your information from social media to appear more convincing during contact.
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Dating sites where they build quick relationships for scam purposes.
By being alert and following these recommendations, you can significantly reduce the risk of falling victim to these scams. Always exercise caution and verify the legitimacy of any unsolicited contact or investment opportunity in the cryptocurrency space.