6 Common Cryptocurrency Scams to Know and Red Flags to Watch For

Have you ever invested in cryptocurrency? Although you haven’t until now, there are certain things that you need to know. The crypto market stands as tall as the global financial market with the increasing number of people daily entering the market and showing interest in investing in it. Where there is more crowd, there are scams and scammers to look out for. The same is the case now with the crypto market. Besides increasingly thriving each day, the crypto market has been seeing an increasing number of scammers and scams regularly in new ways.

Source: capital.com

You might not have invested in it already but in the future, you may surely do it, such as the extent of growth, craze, and potential of cryptocurrency. Hence, you need to be ahead of your challenges to master the crypto space and come out unbruised. For that, you need to be aware of the scams, scamsters, scamming methods, and potential red flags of these all. As you already follow the crypto news, you might be well aware of the crypto market and price volatility, etc. Now, add this dimension to your perspective and no one can ever scam you again.

All this is fine but how do you acquire such information and knowledge? There are numerous news and magazine websites for you to provide information readily. BMMagazine is one such good magazine to keep you updated 24/7. If you want to keep yourself updated about the crypto happenings, head over to their website immediately and subscribe to all the updates.

Cryptocurrency scams and red flags

Source: brokerxplorer.com

1. Imposter websites

As a human, you feel the urge to listen to or give in to the expertise and suggestions of someone professional. But that may make you vulnerable to crypto threats. How many of you rely on random websites for living trading information of the crypto market? Cryptocurrency is the most volatile currency in the entire world. That makes you follow or rely on some credible source that both reflects the market happenings and predicts the future. But think about the web site’s safety and credibility you are visiting. If there is no lock icon and “HTTP” your information is at risk. Avoid those kinds of websites at any cost.

2. Fake apps

Mobile apps are another great way for scamsters to lure gullible investors into their scams. These fake apps are almost non-identifiable. They look like genuine apps but they are not. Google and other stakeholders involved, regularly bulldoze these apps from the app stores, but few of them manage to stay and make it into your mobile storage. Thousands of people have fallen victim to these kinds of apps.

Just do not download any app until and unless you are sure or you believe that it is credible. Research about it a bit, peek into their digital presence, and find reviews.

3. Emails and messages

Source: digitrustgroup.com

Most of you might have received a fishy email or message asking you to click on a link to claim your gift fund. Did it really sound fishy or did you give in to the scam? Either way, you must have learned a hard lesson. This is one common and most famous way of luring gullible investors and coercing or influencing them into providing their personal information.

Once you really click on the link, all your information directly falls into the hands of the scamsters. So, in no way or day believe in these emails and messages. No legit person or entity sends such messages or asks you to enter your personal information in a random site or app.

4. Digital scams

Are you active on social media? Even if you are, sometimes, some people do not know the scams that happen in digital media. Fake accounts and automated bots cripple your DMS without your permission and build a conversation to establish a cordial relationship with you online. Beware of it. While you think you found a great friend online, you need to look into the bigger picture. They may potentially be a scamster gradually gathering and collecting your personal information. So, avoid providing anyone with your information.

5. Fake coins

If you are an active investor or trader, you must already be aware of the cryptocurrencies that are available in the market. Of course, it doesn’t mean the market is not bound to expand. It periodically does. But if you keep up with the news, you will know which one is legit and which one is not. For example, last year, a new coin was allegedly created that is called squid coin. But it turns out that it is not legit but by then a lot of people have already believed in it and invested in it. All of them lost their hard-earned money to the scam. Hence, beware of such tricks too. Do thorough market research at all instances.

6. Aggressive accounts

Source: mediabistro.com

There are certain aggressive social media profiles and YouTube accounts that try to keep you in their grips and earn profit from your trust. Remember, no matter what, always believe in legit sources. Major entities that employ professional teams and have experience in the field. They actually know what is happening in the crypto space unlike these scamsters, endorsers, influencers, and aggressive people. Do not believe in them and buy their information at any cost. Do not take any step based on their information too. You better be cautious than be sorry later.


In today’s era, whether you invest or not, it is highly significant to stay updated with the crypto news. From the price volatility to what are the issues and factors that are causing the price fluctuations, you need to keep up with everything, if you have any crypto dreams and ambitions. Does it then make sense to say that you should be aware of the scams and scamsters? It absolutely does.

Follow the news closely and actively lookout for these red flags mentioned ago to avoid being scammed or worse, losing all your hard-earned crypto assets.