Identify Bitcoin Fraud
Fraudsters are very interested in Bitcoin, just like me. Bitcoin is fast, international, and transactions are non-refundable. With the increased use of Bitcoin, We have witnessed the large number of Bitcoin frauds that attract public funds.
Here are the Bitcoin scams that have evolved today:
Ponzi Bitcoin scheme, HYPI, MLM scheme
This scheme attracts people because of the small or free subscription fee, with the sweet promise of a double profit on your deposit. This type of fraud often relies on invitations / invitations of investors to new users, and makes it a major source of development and income.
On all Ponzi Schemes, new investors will 'pay' the previous investor. Finally, when no new investor makes a deposit, this scheme will fall apart, so no funds can be used to pay the previous investor.
What you need to pay attention to
There are some signs that you are working with an illegal scheme:
°The promise of huge profits
°The guarantee that you "will not lose money"
°Little verifiable information about the company and owner
°Difficulty in attracting your money
°Registration from you and your social circle will bring a big bonus
°There is urgency to "invest right now"
Bitcoin phishing scams
Fraud deception has been known in the online world. Phishing occurs when fraudsters create emails, messages, login pages, and / or websites that look like authorized and trusted companies. When users enter their information (such as username and password) on the fake website, the fraudsters will have access to the user account. If the account is an account where Bitcoin is stored, then the fraudsters will easily steal your Bitcoin.
If the user has the same password on multiple sites, then the fraudsters can access other sites that contain more sensitive information.
How to avoid phishing scams
°Do not click on suspicious emails
°Make sure the website address is the correct spelling
°Use unique and powerful passwords for each account
°Use a trusted password management tool
°Enable two-factor authentication for every possible site
°Report suspicious email to email service provide
°Report suspicious websites to web-hosting companies
Bitcoin Mining Scams
Bitcoin is obtained through the mining process, where Bitcoin transactions are confirmed in Blockchain. Mining requires a lot of energy, expensive equipment, and large initial capital. Bitcoin mining investments then arise because of these needs, and many users can invest in a mining scheme to get a percentage of the proceeds from later mining.
There are some original and reliable Bitcoin mining schemes, but more mining fraud than the original mining scheme. It is difficult for investors to confirm the existence of mining equipment (or whether they actually do mining), and many websites claim they are actually mining only to take investors' funds, provide temporary high profits, then disappear.
Avoid mining fraud
There are a few things you need to pay attention to:
°Unable to see / verify ownership of mining equipment
°Inability to view / verify ownership and mining addresses that should be public
°New website (see on archive.org)
°High commissions if you invite others
°Benefit guarantee
Bitcoin Wallet and Exchange Fraud
There are some websites that claim that they are the 'wallet' for storing Bitcoin. Some others claim that they are 'Exchange' where people can trade Bitcoin. There are also those who claim to be both, but usually something like this is a fraudulent site.
Usually they ask users to register and make a deposit Bitcoin or local currency and then they run the money.
Things you need to pay attention to
Use the services of a trusted and registered company:
°Make sure you can verify the identity of the employee / owner of the company
°See if they are mentioned in local and international news publications
°Be cautious about using your new exchange, apps and browser extensions
Bitcoin Deception List
Since it is very easy for fraudsters to create fraudulent websites, this list of fraudulent websites may always be added.
Here is a website listing Bitcoin deceptions:
°http://www.badbitcoin.org/thebadlist/
°https://bitcointalk.org/index.php?topic=1326821.0
If you save Bitcoin * anywhere *, do your research and thorough investigation (Google and online forums will help you). Remember, if what the site claims sounds 'too' good, then it is usually a fraud.
Source. Luno.com
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