Did you be aware that billions of dollars are stolen from frauds involving cryptocurrency every year? As per the Federal Trade Commission (FTC) there were more than 6800 complaints of fraud involving crypto between October 2020 and March 2021 and the overall loss was greater than $80 million. The financial loss that occurred during those six months was 10 times that of the total loss between 2019 and 2020. These numbers indicate that the public is becoming more vulnerable to scams involving crypto currencies and fraudsters may have come up with more effective ways to take money from investors. If you’ve fallen victim to scams This article offers the answer you’ve been looking for to get your money back. Before you can get your money, you have to recognize the various frauds.
TOP 5 CRYPTO SCAMS OF 2022
1. COINBASE SCAM
Coin base is an pacman blog business which provides an online platform for cryptocurrency trading. Coin base is a well-known cryptocurrency trader in the US However, it is gaining popularity across the globe. However, it has also attracted the attention of fraudsters and is being employed by them to commit fraud involving cryptocurrency. For instance, emails and texts that contain hyperlinks are sent out to individuals. They are then directed to a fake website that asks for information about cryptocurrency accounts. Malware might be downloaded on device of the users, which could steal their personal information. In addition, scammers pose as Coin base in the texts and emails which means that people could have accidentally provided their details to fraudsters believing they were a legitimate cryptocurrency business.
2. PONZI SCHEME
Scammers claim investment opportunities that offer extremely high returns over short time to investors. Based on this claim the scammers also include new investors in the scam. However, the new investors are not provided with a legitimate investment opportunity since the new investors’ money are transferred to previous investors as a reward for their investment. So, the funds continue circulate between investors within the scheme and create an illusion of profits from the cryptocurrency. Initial investors receive rewards for their investment which improves confidence in the Ponzi scheme and draws in more investors. But, once the scheme is able to attract enough people and the scammer is gone, he will disappear with the entire amount of money.
3. ROMANCE SCAM
Scammers make fake profiles for dating websites and establish trust with other individuals. These people then are provided with lucrative investment opportunities with cryptocurrency. In addition, scammers may require people to divulge details about their personal life, like the username and password for their accounts as well as “private keys” needed to access the cryptocurrency kept in digital wallets. The FBI’s Internet Crime Complaint Center, more than 1800 romantic scams have been reported as of 2021 with the total loss reaching $133 million.
4. GIVEAWAY SCAM
This is one of the most popular due to the fact that people often fall for claims of giveaways or free money. The scammer could promise that investors will receive cash for free, or that they could double the investor’s funds within a specific period of time. Once the investor has sent the money the scammer disappears along with the cash. In addition, scammers may pretend to be a celebrity and make people trust the offer as it’s an opportunity that is once in a lifetime. In the year 2021, the US Federal Trade Commission reported that it lost $2 million to scammers who posed as Elon Musk in scams for giveaways in 2021.
5. TECHNICAL-SUPPORT SCAM
Scammers could profit from investors’ ignorance about cryptocurrency and trading. They could pose as customer support for cryptocurrency exchanges or platforms and establish trust with individuals. In turn, they could disclose information related to the accounts they have with cryptocurrency. For instance, you could give away the “private keys” needed to access the cryptocurrency stored in an electronic wallet.
RECOVER YOUR FUNDS FROM SCAMMERS NOW!
If you’ve fallen victim to one of the frauds mentioned above, or any other crypto-related frauds, there’s an opportunity to get your money back. So what do you do?
CONTACT RELEVANT AUTHORITIES
It is recommended to contact and inform the scammer of the following organizations that are based in your region or country:
- Federal Trade Commission (FTC) at reportfraud.ftc.govor
- Financial Conduct Authority (FCA) at fca.org.uk/contact
- Broker Complaint Alert at brokercomplaintalert.com/
You can request a chargeback at your bank if you made use of your credit or debit card to make cryptocurrency-related transactions.
HIRE A THIRD-PARTY ORGANIZATION
The Global Pay back provides a wonderful example an organization that is able to help you recover your money. It’s a consulting company that works with a broad range of funds. They’ve got you covered if the scam involves cryptocurrency, CFD, or Forex trading! Furthermore their team of knowledgeable people, not just for technical issues but also legal matters making the whole process of recovery very easy. The best part is that you can have a consultation completely free prior to making any payments that are related to the process of recovering!