An online guide to British online casinos has published several tips on how to avoid falling victim to increasingly frequent cryptocurrency scams, mentioning a variety of fraud types some of which may be less familiar than others.
One trick used in touting fraudulent proposals is citing alleged recommendations by some celebrity, according to a statement from scams.info, a UK website containing information on reputedly scam-free British online casinos.
That’s a trap easy to fall into. “We’re a sucker for things our favourite celebs advertise,” the statement says. Cited celeb recommendation may be fakes, and scammers can themselves masquerade as famous people.
Thoroughly researching any crypto project you are considering investing in is the key advice from scams.info experts.
This seems obvious, but what scams.info recommends means a lot of checking and it’s easy to overlook some important points. You should check whether an investment opportunity you are pondering has been offered by a genuine or fake company, platform or app.
Many fake platforms look very similar to legitimate ones but there may be tiny differences, such as a slightly different domain name, scams.info points out. It also helps to go through a credible and up-to-date fake cryptocurrency list, the experts say.
But even if it’s a genuine and legitimate entity you’re dealing with, it’s important to obtain credible references to it and check who is behind it.
You should also check any unfamiliar term and technicality you may come across.
All this research may, however, be a tiresome procedure and you may be tempted to skip some of its steps. You may, by the way, be encouraged to do so by alleged celeb recommendations or by buzzwords such as “guarantee”, “free” or “get-rich-quick”.
The statement points out rug pulls as something that is expected to be one of the main types of crypto scams in 2023. A rug pull is a scheme where a team obtain money from investors to fund a non-fungible token and then vanish with the cash, leaving the investors with a worthless asset.
One more precaution suggested by scams.info is to secure your digital wallet.
If anyone asks you to share your private wallet key or keys with them, this is likely to be a scam, the scams.info experts say.
One effective way to keep your wallet secure is multi-factor authentication –taking two or more verification steps to gain access. Other ways are to use multiple wallets and avoid logging in on public WiFi, scams.info advises.
“Always take the time to stop and think before proceeding and never feel too embarrassed to question something if it doesn’t feel or look right,” the statement quoted scams.info spokesperson Nicholas Crouch as saying.
There are countries, among them Britain, where cryptocurrency is not regulated. In the UK, the government is unlikely to refund you for money you have lost to scammers, scams.info warns.