Cryptocurrency Scams Are Keeping Pace with Cryptocurrency’s Popularity!
Before you jump into the world of Bitcoin and cryptocurrency, be aware the cryptocurrency scams are everyone and have stolen billions already from savvy and beginning investors!
It’s understandable to see why millions of people have rushed into the cryptocurrency craze—some people have become millionaires buying/investing in cryptocurrency. In January 2015 a purchase of 50 Bitcoins would have cost $10,000. In May of 2021, that initial $10K investment was worth $2.9 million.
So, it’s equally clear why scammers and con artists would also jump into the cryptocurrency craze: There are boatloads of money to be made for them as well.
Sound advice is usually wise advice.
If there are ever a few old-time expressions regarding money and making decisions that need to be rolled out right now, here are a few.
- Let the buyer beware!
- If it sounds too good to be true, it is too good to be true.
- Look before you leap!
- Fools rush in, where wise men fear to tread.
These expressions may seem outdated, but the truth is if more people had followed them over the past handful of years, they would not have lost a money in cryptocurrency scams.
Cryptocurrency is complicated. It’s not like quarters, nickels and five- and ten-dollar bills. It’s not even tangible.
What is cryptocurrency?
The website decryptionary.com provides this answer to the question:
“an electronic money created with technology controlling its creation and protecting transactions, while hiding the identities of its users.“
The “currency” is in the coin, even if it there is no coin. That’s what’s so futuristic about it. You have nothing tangible backing up your investment, just the value of that particular cryptocurrency at the time.
Here’s how the website Investopedia spells it out in their article “How Bitcoin Works.” It’s easier to define what Bitcoin actually is. It’s software. Don’t be fooled by stock images of shiny coins emblazoned with modified Thai baht symbols. Bitcoin is a purely digital phenomenon, a set of protocols and processes. It is also the most successful of hundreds of attempts to create virtual money through the use of cryptography, the science of making and breaking codes. Bitcoin has inspired hundreds of imitators, but it remains the largest cryptocurrency by market capitalization, a distinction it has held throughout its decade-plus history.”
Not only confusing, but volatile too.
The value of cryptocurrency can rise extremely fast. The value can also drop significantly and without warning even quicker—a very volatile investment. Investors are hoping and betting that a cryptocurrency’s future value is higher than what they purchased it for. The same as in any investment, you hope to buy low and sell high.
For many people, especially those who are always looking to get rich quick, there’s a fear of missing out on this opportunity.
A perfect environment for scammers.
There is one thing that needs to be stated—cryptocurrency, as complex and conceptual it seems and is—it is legitimate.
Cryptocurrency itself is genuine. There is a demand for an online digital currency system. And many people believe may be a significant part of our future.
- Most people who are gaining interest in cryptocurrency want it to flourish, gain acceptance and reach its full potential as a currency that isn’t a bank, government based or regulated.
- There are also those who want to be part of the digital currency world to maximize profits as they buy cryptocurrency they hope will be increase in value.
- Finally, there are those who only want to steal from the above two groups. Either they want to steal any cryptocurrency their targets currently possess, or the want to trick others into investing in a fake cryptocurrency or a crooked crypto organization.
If you’re interested in cryptocurrency, do research before you invest! Talk to people you know and trust for advice.
And here’s a great suggestion.
Listen to the Easy Prey podcast.
Chris Parker, host of the Easy Prey podcast, has interviewed several experts on cryptocurrency and cryptocurrency scams. You can listen to those podcasts by clicking the links below.
The Easy Prey podcast helps you stay informed, avoid scams and fraud, and keep you safer online and in real life. Click the button below to all the posted episodes and other informative content.
- Easy Prey Podcast
- General Topics
- Home Computing
- IP Addresses
- Online Privacy
- Online Safety
When news of the Pandora Papers broke in early October 2021, many people thought, “Oh, just another…[Read More]
The Covid Crisis has shown us the sudden validity of needing to prepare for the worst case…[Read More]
There are a lot of grey areas of the Internet, as it is a relatively new, ever-evolving…[Read More]
Have you received a notice that you’re guilty of copyright infringement? Don’t panic. Here’s what to do…[Read More]