With the rise of cryptocurrency and the new wave of scammers who use Twitter to take advantage of speculators, it is important to know what to look out for. With no regulation and little to no oversight, the year 2020 will look like a walk in the park. Mashable has compiled a list of the biggest crypto scams of 2018. This list does not include the amount of money stolen, but rather the most unique and brazen scams.
When it comes to scams that take advantage of cryptocurrencies, many are using old tricks to lure people. An example of an old classic crypto scam is the unsolicited call or email from the IRS. The fictional IRS man will try to convince the victim that they owe money and threaten legal action if the money is not paid. However, this method is highly suspect. Fortunately, there are a few ways to spot a crypto scam.
The first way to spot a crypto scam is to look out for a cold wallet. A cold wallet is a device you store cryptocurrency in. This type of device is hard to compromise or steal. Secondly, don’t open any accounts with any new company you’re not sure of. A cold wallet is the safest way to protect your money from hackers. Most scams in this industry have the same goal. You don’t need to spend a fortune to protect your money.