Despite all the ups and downs, the crypto market is still booming, and manages to attract a decent amount of investors every year. However, the popularity of cryptocurrency isn’t only limited to investors, as criminals also love the anonymity cryptocurrency brings. In this article, we’ll talk about the biggest cryptocurrency scams you should avoid in 2024. You can always use platforms like crypto drainer to keep yourself safe and updated.
Why Do Criminals Love Cryprocurrency?
Here are some of the biggest reasons why cyber criminals love cryptocurrency.
● The anonymous nature of crypto transactions is one of the biggest reasons why scammers and cyber criminals love this market. Send cryptocurrency transactions are always anonymous, they are harder to track even for law enforcement agencies. Once a transaction is done, no one can reverse it. This is why criminals love creating sham schemes to make cryptocurrency investors into transferring their assets in shady accounts.
● Cryptocurrency transactions are irreversible, and this is another big reason scammers love the crypto market. Cryptocurrency uses blockchain to fulfill transactions. While the blockchain technology is fully transparent, it does not allow transactions to be reversed easily.
● Many countries have banned cryptocurrencies, and others have ignored them completely. This translates to a lack of regulation around cryptocurrency transactions worldwide. Therefore, criminals in certain jurisdictions can easily scam people of their cryptocurrency assets, and not even get arrested.
● Cryptocurrency platforms are not bound by any laws. That is why crypto transactions are borderless. However, this gives rise to money laundering opportunities for corrupt politicians and businessmen.
● Cryptocurrencies are very easy to access. Any person with little knowledge of computers can easily make an account on any cryptocurrency exchange. This is one of the main reasons why there are so many cryptocurrencies scams worldwide.
Major Cryprocurrency Scams To Be Aware Of
Here is a brief list of some of the biggest cryptocurrency scams to be aware of in 2024.
1. Viruses
If you download malicious software on your mobile or computer on which you use your cryptocurrency account, that software can be used to easily steal your login credentials. With the right information, cyber criminals can log into your cryptocurrency account, and take out all the funds before you notice.
In the past, there have been many ransomware attacks in which a certain type of virus is used to hack into a large group of computers and mobile phones. The leaked data is then used to steal cryprocurrencies from crypto investors.
2. Phishing Scams
Phishing is one of the oldest scams, but it still works in the case of the cryptocurrency market. A scammer can make you click on a malicious link which leads you to download a virus infected software on your device. The compromised website or software is then used to steal your precious data, and hence your crypto assets.
3. Rug Pull Schemes
Rug Pull schemes are rather ingenious schemes designed by scammers to make people trust and invest in a cryprocurrency. Scammers secretly hold a large chunk of their cryptocurrency’s shares, and sell them instantly once they reach their desired goal. This causes the value of that cryptocurrency to drop, and results in a complete or partial loss of funds for its investors.