How To Spot A Scam

akhairul (44)in #cryptocurrencies • 7 years ago (edited)

Hello Steamian,

Today I'm going to share with you few tips to spot a scammer and a scam online programs. I've been a web developer for almost 17 years now. So I've seen plenty of these scams. I've been around the HYIP in early 2000 (e.g 12 Daily Pro), MLM, gold and lately mining and ICO scams.

Ferraris, Bungalows, Expensive Trip

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The most obvious of all, you will see them showing off with their Ferraris and Lamborghinis, big house with pools, showing off stacks of money, and expensive Europe trip at lavish hotels. Common sense people, do you see Mark Zukerberg, Warren Buffet or Bill Gates doing that ? Rich people have other things to do, more important things like making world a better place.

High Returns And Guarantee Earnings
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No doubt there are business that do make high returns. But not all the time. There are good time and bad times. If you see something like guaranteeing payout like "5% a month for a year", do be cautious.

Easy To Get In, Difficult To Get Out

These are program that require you to make deposits, buying their plan like 30 days deposit will get 5% earnings every month. Then this earning is the split into few wallets like Register Wallet, Saving Wallets, etc etc. And only certain wallets you can make withdrawal. The scammer will try to make it difficult for you to cash out.

Offshore Companies

Not all offshore companies are bad. But to look legit, scammer will go to extend to register companies in offshore location. You will find location like Panama, Seychelles or Vanuatu to setup a company. And it is easy to do so. You can do it online. You can hire an agent to do all the registration and open a bank account. And some you are not require to be there. Just send you documents online.

Foreign CEO and Titles
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So scammer will go to the extend hiring foregin CEO of the company. They are paid to act like a CEO and attend company functions. And they will pose in office, to look like there is a real office. Some scammer have royalties title.