As cryptocurrency becomes popular, so also the bad actions within the crypto space becomes increased. This is the reason one needs to beware of such kinds of scams so as not to fall victim of bad actors. Here, we will take a look at some signs that you should not overlook when you see them in a crypto project or a coin and this may save you from future regrets. The truth is, any red flag that you notice should be given optimum attention because they may be the warning signal that will save you. Here, we will look at the signs to point one towards a potentially criminal crypto project, then in the next publication, we shall look at ways to avoid these scams.
Image from Pixabay
1. Impersonation
Some of these crypto scammers have a subtle way of modelling a particular project or coin after an original one. Sometimes, they even claim to be who they are not. I remember Sometimes ago, a friend of mine shared with me how a particular supposed admin of a crypto group he belongs to sent him a private message about a particular deal. But on a closer look, it was not the admin but someone what trying to impersonate him to scam the unsuspecting victims. More so, looking at it holistically, which admin will chat you up first and present to you some shady deals?
Another form of impersonation that they use is in fake lookalike websites to defraud their victims. Take this instance: Without looking closely, the lowercase of the letter "L" looks similar to the uppercase of the letter "i". Look at this: (I & l) one could hardly know that the first letter in the bracket is a capital "i" and the second letter is a small "L". You see, there are some minor details that people may overlook, which bad actors can take advantage of when impersonating some other legit sites and projects. A few months back, something similar happened when a particular crypto site was impersonated by just subtly replacing a particular letter in the url, and many people fell victim of that. You need to examine any url well before clicking. If possible, bookmark the regular ones that you are visiting.
2. Unbelievably high offers
This is one of the red flags to show a scammy crypto project. When they bring up offers or returns that are insanely high, then it should send a warning sign to you. Imagine someone telling you that if you invest in a particular crypto project that you will get twice your capital in a matter of days. How is that even guaranteed? This is just a way they play on the greed of people and make away with their hard earned money. I remember sometimes ago, a friend of mine brought a similar supposed Investment opportunity that promised a high return. On looking closely at it, it had all the features of ponzi scheme but in crypto facade, so I did not invest. It wasn't long after that, the platform crashed and people's money disappeared into the thin air.
Some of these scammers have devised another way of going about this. Sometimes, they may just message you that you have been selected for a prize or that you have won something which you never even applied for or know about. So you should be careful with such messages. A few days ago, I got a similar message in my WhatsApp from someone I don't know. Below is the screenshot.
Screenshot from my WhatsApp
I mean, how will someone believe something like this if not for greed? Even when I wanted to satisfy my curiosity, I ran the url in a private browser with the details provided and it was, indeed, scammy.
3. E-mail spoofing and phishing attack
E-mail spoofing, simply, is an act of sending an electronic message with the sender appearing to be from a legit source like a crypto exchange, wallet provider, etc. With this forged address, the recipient of such message may tend to believe that the email is legit and in that way, they may perpetrate their bad actions. One of the things that they may do with such messages is to send phishing links to users. Phishing link is a link designed to make people fall for a malicious or ill-conceive message with the intension to scam the person. To spot spoofing, you must be very attendant to details. Even a small and seemingly negligibly error should not be neglected.
Sometimes, these spoofing emails may contain malwares or virus attachments which, when downloaded, can sniff into sensitive information like password and login details. This is one of the reasons, before you click on any link sent to you, you should double-check that it is from a verified source.
Thanks for reading
