Cryptocurrencies such as Bitcoin, Litecoin and Ethereum have garnered much attention from investors in recent years, with the value of cryptocurrencies rising dramatically over the last 12 months (as of December 2017). Although cryptocurrencies are increasingly popular, there are significant risks that you should be aware of before you invest your hard-earned money in them. If you have been approached to invest in cryptocurrencies and aren’t sure whether it’s safe, this article will help you get started by examining the main types of cryptocurrency scams as well as what steps to take if you have been scammed or believe your investment could be at risk. As well you should know that how to Funds Recovery Experts can help you to protect your money.
What is Cryptocurrency Scam?
Cryptocurrency scam is a type of scam where scammers steal your cryptocurrency. Cryptocurrencies are digital currencies, usually in the form of tokens or coins, that can be sent electronically from one person to another. One of the most common ways for scammers to steal cryptocurrency is by posing as an exchange or market that offers cryptocurrency trading services. They may also use email phishing scams or pyramid schemes which falsely claim they will give you free tokens if you just send them some first. They may also try to trick you into installing malware on your computer so they can take control of it and steal your passwords, wallet information, credit card numbers and more.
Types of Cryptocurrency Scam
Scams are out there, waiting for you. Some are subtle and some are not so subtle. A cryptocurrency scam is no different. The best way to avoid being scammed by an asset recovery company is to do your research before you engage them or give them any of your cryptocurrency.
There are a few different types of scams that people fall victim to when they’re dealing with cryptocurrency scams:
One way in which many people have fallen victim to a crypto-scam has been through their own exchanges. It’s important that you do enough research on the exchange before using it because if the exchange gets hacked, it could mean huge losses for the users who stored their coins on the exchange’s wallet service.
The best thing you can do is only store crypto on an exchange if absolutely necessary, otherwise store your coins offline in cold storage wallets such What is an Asset Recovery Company Wallet Offline.
