5 Common Bitcoin Scams and How to Avoid Them

Many people have lost money through Bitcoin scams. This article also explains five crypto scams and ways to avoid them.

Bitcoin scams have existed for years and aren't ending anytime soon. So, crypto users must know the scamming tricks criminals use and master ways to keep their cryptocurrency assets safe. What complicates everything further is that Bitcoin scammers have been improving their schemes to make them even more effective. As a result, securing your funds requires the application of various strategies at once. Here are the most common ways you can lose your BTC to criminals.

1. Bitcoin Dusting

Bitcoin dusting is one of the most rampant crypto scamming techniques today. In this case, attackers send small Satoshi fractions to numerous users on the network. They aim to unveil the personal details of the recipients and then pursue them directly.

Some information a crypto dusting attack would want to obtain is the residential or work office addresses. Scammers can use different techniques to get money from you if they succeed. Most Bitcoin dusting attacks lead to the abduction of the victim's loved one or even themselves.

What follows the abduction are a series of threats and ridiculously exploitative demands. Cryptocurrency dusting scammers usually demand vast amounts of money from their targets. Failure to send the payment can result in more complex situations. For instance, criminals can torture and kill their hostages if they don't get the money.

Bitcoin dusting attacks take a long time to succeed but are challenging to detect. You must be keen to notice such activities because they send tiny bits of Bitcoin to your wallet. The best you can do is to regularly check for any abnormal activity in your transaction history and take appropriate measures.

2. Fake Cryptocurrency Projects

Bitcoin's growing influence has cost several users their hard-earned cash. Some scammers are brilliant and persistent people. They always go the extra mile to create something easily pleasing to Bitcoin enthusiasts. An example of such an initiative is the initial coin offerings on new cryptocurrency projects.

In this technique, scammers develop a fake version of a new coin. They then sell it to unsuspecting digital entrepreneurs at affordable prices. Once the thugs have accumulated a lot of money from the scheme, they shut down unexpectedly and get away with investors' funds. You can avoid entering such traps by confirming the site's authenticity and offering initial coins before paying anything.

3. Phishing Attacks

Phishing attacks have recently become more frequent in the cryptocurrency sector than ever. Phishing attacks are among the most lethal Bitcoin scamming methods because you can hardly detect them. Such attacks target users' login credentials and then use the details to access the associated Bitcoin wallets and steal funds.

Phishing attackers clone genuine Bitcoin trading websites or mobile applications. They then send users emails with fake platform links, telling them to take advantage of some lucrative offers. Scammers will get your login information when you sign onto their fake websites. Next, the attackers will use your login credentials to enter your genuine crypto wallet or trading account and transfer all your money.

Fortunately, some measures can protect your Bitcoins against phishing attacks. First, you should trade only on secure cryptocurrency trading sites like the immediate connect. Such platforms have various anti-fraud strategies to maximize safety. Ensuring that you log only into an authentic trading platform can also be helpful.

4. Malware Attacks

If Bitcoin scammers fail to convince you to sign in on their fake trading platforms, they'll use other more advanced mechanisms like malware. A Bitcoin scammer can remotely install malware applications on your device without you knowing.

The most common trick thugs use to send malware to your phone or computer is by email or social media messages. You can receive an email from an unknown sender urging you to follow a link to view the latest Product promotions and offers. Surprisingly, you won't see anything meaningful when you click the link. So, you'll likely close the page, not knowing that some malware programs are already running in the background on your device.

Most malware applications will send your username and password to the attackers whenever you sign into your wallet or trading account using a compromised device. To be safe against malware attacks, update your antivirus software regularly.

5. Random Bitcoin Investment Invitations

Remember, anything is possible in the digital business ecosystem. Therefore, you should know more about crypto investment invitations to avoid losing your funds to criminals. Scammers using this method will approach you with excellent Bitcoin investment opportunities.

Some can even promise over 100% returns if you send them your BTC to invest. Unfortunately, you'll only see or hear about them when sending the amount they asked you to pay. Always be keen and avoid the unnecessary rush to keep such scammers away from your resources.

Bottom Line!

Bitcoin scamming is currently one of the most challenging vices in the cryptocurrency industry. They can take various forms, and detecting them has become more complex with time. Among the most rampant crypto scamming techniques are phishing, malware attacks, Bitcoin dusting, fake cryptocurrency projects, and over-hyped investment opportunities.