What Are the Top 5 Common Bitcoin Scams?

What Are Bitcoin Scams?

When Bitcoin was rolled out more than ten years ago, followed by the ebb and flow of the cryptocurrency's price, Bitcoin Scams is thriving. Unfortunately, the unregulated and private nature of the market makes it ideal for scammers seeking inexperienced investors to defraud.

Bitcoin Payments Are Irreversible

One of Bitcoin's features is the transaction is Irreversible. As no regulatory, the community creates new blocks of unalterable transaction data, once a transaction has been approved, it cannot be returned, even if it wasn't submitted by the actual owner of the Bitcoin.

What Are the Top 5 Common Bitcoin Scams?

• Fake ICOs

The cheater will put the fake ICO details into a website, and then send the website to inexperienced investors with promising big profits to new users. When investors pay the funds into the website or wallet, they will go missing.

• DeFi Rug Pulls

DeFi enables users to earn profits doing tasks such as lending out their crypto to other users. With the DeFi protocol popular among investors, it also attracts cheaters. There are a lot of DeFi Rug Pulls within the industry, A Rug Pulls is someone who takes your funding and promises services or profits in return, but suddenly disappears when they got the funds.

• Social Media Scams

The power of social media is enormous, cheaters take full advantage of the influence of famous people, create fake social media accounts to solicit Bitcoin from followers or offering to double any BTC deposit sent to that posted link.

• NFT scams

NFTs are one of the current investment crazes. The cheaters use huge profits to attract buyers but provide fake NFT.

• Exchange Scams

Building an entire fake exchange, and lure users in with fake promises of ridiculous profits. When you poured funds into the exchange, you won't be able to withdraw.