DeutschIn markets that enjoy rapid growth, criminals automatically appear who want to secure as large a piece of the proverbial pie as possible. Much to the chagrin of investors who often have to accept damages incurred in the digital world. Because once funds have been transferred to dubious service providers and wallets, they are usually irretrievably gone. Criminal activities in connection with digital currencies are also referred to as scams in international crypto parlance. The term “Bitcoin Scam” is mentioned particularly frequently, because the still leading cryptocurrency continues to be used particularly often by cybercriminals for their deeds. The reason: Bitcoin (BTC) is increasingly arriving in the so-called mainstream and thus offers a particularly large attack surface and many opportunities for abuse. So it is all the more important to know how to recognize Bitcoin scamming.
Number of Dubious Bitcoin Addresses Steadily Increasing
Recently, there have been more than enough reports about attempted and, unfortunately, successful scams involving Bitcoin. Hacking attacks on Twitter accounts of several famous personalities were probably the last massive incident that was extensively discussed in the media even outside the community. Scammers often lure with particularly high returns for investments or promise attractive free gifts if recipients of emails send cryptocurrencies to address XY or open accounts on platforms and transfer money to trading accounts there. A golden rule to recognize Bitcoin scams can be formulated as follows: “What sounds impossible is usually impossible.” This refers above all to promises of returns. If senders of emails promise incredible profits within a very short time, which would hardly be realistic even on the crypto market in boom phases, you should quickly delete the email in question in your own interest and refrain from transactions.
Some of the incidents that received particularly high coverage are scams like “Bitcoin Trader”, “Bitcoin Revolution” or “Bitcoin Evolution”. The list could be continued longer from day to day.
First Check Addresses, then Send Bitcoins
Fortunately, with the technical possibilities for fraudsters and other criminals, tools and aids are increasingly being created that make it much easier for you to track down Bitcoin scamming. Websites like “Bitcoinabuse.com” are a good place to start if you have initial doubts about the seriousness of a Bitcoin-related offer. Platforms like these (of course there are different providers and the number will continue to increase) usually prove to be helpful in two respects. On the one hand, you can enter Bitcoin addresses that you consider suspicious from your point of view. The databases then carry out tests. If the addresses have been reported by other users in the past as wallets in connection with fraud, you will receive a direct notification. Have you yourself become a victim of fraud or have you just recognized the risk? Then you can report Bitcoin scams yourself on the portals to spare other crypto fans similarly bad experiences.
Security Service Providers Help to Limit the Damage
It is important for the sites that recognize Bitcoin scams and issue warnings that they cover the entire area of crypto fraud as comprehensively as possible. Hacker attacks should therefore be taken into account as well as the aforementioned actions with free gifts and all other types of criminal activities in the crypto context. Many users of the websites sooner or later enter every Bitcoin address they have not yet known out of habit. Rightly so. The effort is small, the benefit in an emergency is immeasurably great. It is also interesting that you can obtain various data on wallets for Bitcoin transactions via other platforms (often linked to the “abuse detector” pages).
The information includes, for example:
- Date and time of last transactions
- Number of wallet transactions since opening & their volume
- Details on the balance of the respective wallet
- Frequency of transactions
The reporting on addresses that are supposedly used for Bitcoin scamming can quickly give the all-clear or confirm your own gut feeling. The statistics available on Bitcoin Abuse as well as similar platforms are worth reading. This way you can get an impression of the fraud cases of the past weeks and months. This is quite interesting insofar as crypto beginners in particular only understand the whole dimension of the risks. The number of dangers is enormous – but well prepared you are on the safe side and effectively circumvent scam-suspicious addresses and actions.
Scam Alert also Wants more Security for the Crypto World
Compared to many other analysis offers for recognizing Bitcoin scamming, the Scam Alert service from the analysis and tracking professional Whale Alert is still a fairly young format. The blockchain service provider Whale Alert is launching its offshoot model to guarantee higher security standards for the blockchain and its users. On the portal you can report both classic crypto scams as well as theft or websites that suggest the suspicion of crypto fraud. This concerns both the blockchain technology and digital currencies such as Bitcoin and the countless altcoins in the industry. After entering the address data, the operator will inform you directly if there has been confirmed fraud. This of course includes the warning that you should under no circumstances send Bitcoin payments to this address!
Cybercriminals are Becoming more and more Inventive
The portal also presents any websites associated with the fraud. You will also find out how often the website has already been reported and what income the criminal wallets have received so far. The information offered by the Scam Alert platform is pleasingly rich. So you can not only find out everything about current threats from criminal advertising measures. Typical dangers such as theft, email fraud, ransomware, crypto snowball systems (keyword “Ponzi scheme”), but also fake crypto exchanges, DarkWeb-related risks and activities related to adult content on the WWW are the subject of the pages. Many of the well-known sites also contain summaries of the currently most dangerous and most used Bitcoin addresses and often present you with valuable tips on how you can optimally protect yourself against the threats in advance. After all, prevention is always better than cure.
Always Stay up to Date and Minimize your Own Risks
Anyone who falls victim to fraudsters and sends coins to scam addresses because of all too tempting profit prospects must, as a rule, write them off as a loss for good. In mid-July 2020, Whale Alert reported that fraudsters (without Ponzi campaigns) had pocketed Bitcoins worth the equivalent of 24 million US dollars within six months since the beginning of the year. And according to analysts, both the number of scamming attacks and the stolen funds will continue to rise in the coming years in view of the increasing popularity of digital currencies. In addition, perpetrators are becoming more and more creative and at the same time more brazen in order to extract money from crypto fans. The fact that more and more normal investors are being drawn to the digital currency market because of exciting investments ensures that perpetrators often have an easy time. This is because investors who discover the crypto market from the traditional financial market often lack the necessary technical knowledge. Above all, this target group should prepare well in order not to fall for criminals right at the beginning of their crypto career.
In General, the Unmistakable Tip for Everyone at the End is:
Even with the slightest skepticism, you should distance yourself from offers that promise you profits far beyond realistic market conditions. It is best to use the information sources regularly so that you do not miss any important news. Current news from specialist portals and the media in general should be compulsory reading so that you do not end up becoming the victim of a hacker attack or falling for the latest Bitcoin scamming attempts, which in the worst case will reduce your wallet budget to zero. Especially with market innovations, it is worth taking a second look and getting expert opinions rather than taking risks rashly and potentially at a loss.
