Blog Post

In the media, there has been an increase in stories about those who invested early in the next great thing and made huge profits. It's no surprise that bitcoin investment use and fraud are on the rise given the prevalence of these stories and the seeming legitimization of cryptocurrencies by famous people like Elon Musk. Because of the complexity of how it operates and the lack of experience, con artists find it simple to persuade individuals to part with their money. Be on the lookout at all times because scams come in a wide variety. We've listed 7 telltale signals that your cryptocurrency investment might be fraudulent. It's crucial to keep in mind that not all of these must be true for it to be a scam.

1. You discovered the individual or advertisement through social media or a cold call

There are several ways that you can encounter shady businesses on social media. Sometimes, the person might have randomly called or added you. It could occasionally be a fake celebrity endorsement (always be wary of celebrity endorsements). Sometimes it's a little bit more subdued. You may have seen a newsletter or article about cryptocurrency investing that included quotes from what appeared to be a reliable broker. You will probably be contacting a scammer if you click on those links or fill out a form. Usually, once you've given your information, one or more fictitious "businesses" will chase you nonstop.

2. By "beginning small" and experimenting with the investment, you were persuaded to invest

You'll frequently be asked to invest as little as £100 or £300 in these frauds to see how they work. Suddenly, you'll notice that your investment is doing incredibly well, which will inspire you to make additional investments. To try to persuade you that this is real, the scam artist may even send you a little portion of your earnings back. Unfortunately, what you are seeing is phony. While everything may seem true and seem to mirror actual events, fraudsters are able to build very convincing-looking platforms that they can use to support whatever narrative they want to present to you. They'll make up whatever complex tale they need to in order to persuade you to increase your investment; occasionally, this may involve devastating losses you need to "rescue," and other times, it'll involve investing in once-in-a-lifetime possibilities.

3. It is unclear why they are notifying you about the investment given how great of an opportunity it is.

Take a step back and ask yourself why this individual is telling you what they are, assuming what they are saying is accurate. I can say with certainty that if I had insider knowledge about a brilliant new currency that was guaranteed to generate profits or 800% returns, I would invest personally and tell everyone in my family and friends about it rather than a stranger. Yes, some people have made a lot of money investing in cryptocurrencies, but most of them did so by purchasing coins many years ago, sitting on them, and getting lucky. Many new coins end up being fraudulent digital currency, like the infamous Squid Coin.

4. You have been requested to grant remote access to your device using TeamViewer or AnyDesk software.

Simply said, this is a major warning sign. No trustworthy broker would request remote device access from you. They just do this because it offers them the option to click or conceal any warnings, and they also do it since the actual transfer of cryptocurrency from one wallet to another is difficult for those who are unfamiliar with the industry.

5. The "broker" has requested that you send screenshots of your transfers.

This is not a security measure; instead, they need to confirm that you have paid them money because the platform is a scam and they want to display the transfer on their platform only after it has been verified. Keep in mind that fraudsters perpetrate similar investment scams on thousands of people every day, so it will be challenging for them to notice the appearance of your assets.

6. You were notified that withdrawal charges or taxes were due.

This is the con artists' final shot at success and is included in all investment frauds, including the Group 500 or Genesis 11 scams that we have previously discussed. Even though you won't have known about the fees or taxes beforehand, the fraudsters will use a planned strategy to persuade you to spend more by making the costs they want you to pay seem acceptable in comparison to the overall "profit" you've made. Avoid paying these costs because you won't receive your money back and other taxes or fees will be added later. Why can't they just deduct the cost of the fees from your account balance? The only useful response to this is that they are a fraud.

Cryptocurrency Red Flags

Start by keeping an eye out for these frequent warning signs of credit card theft and traditional money wiring scams:

• Typos and glaring misspellings in emails, social media posts, and in all other forms of communication
• Guarantees of money growth
• Contractual restrictions that prevent you from selling your cryptocurrency
• Fake celebrities or influencers who make false statements
• psychological trickery, such as extortion or blackmail
• Large-scale crypto schemes on social media
• Free money promises
• Uncertainty regarding where your money is being spent

Inform the police and Action Fraud about the scam.

The reporting center for fraud and cybercrime in England, Wales, and Northern Ireland is called Action Fraud. It captures information on fraud and sends it to the National Fraud Intelligence Bureau for police study.

You can call Action Fraud at or report it online if there has been an attempt to steal your money or personal information. If you reside in Scotland, you can contact the police immediately by dialing 101 to report a fraud.

You can also contact the police by dialing 101 if your money was stolen as a result of a fraud.

Even if the con artists were unsuccessful, you can still report a scam attempt. However, not every report results in a police investigation, but any information you give will help build a clearer picture of how scams work, and who is behind them.

If after reporting your case to the necessary quaters, you were still not able to get expected result as a victim of fraud, book a free consultation with Resorus