It is easy for scammers to create billions of tokens, but it can be difficult to convince people to buy them. The best way to make money off a cheap coin is to lure investors with promises of huge returns and produce fake reports of customer performance. A recent example is the so-called “Squid Game” scam, in which investors were tricked into investing through a fake website. The site claimed to have an investment that was increasing in value, but the developers were never found or the investors’ money went missing.
Some of these scammers pose as celebrities, businesspeople, or cryptocurrency influencers. They may promise to match or multiply the cryptocurrency you send them, but in reality, these claims are false. In addition, the crafted social media messaging created by scammers can give an impression of legitimacy and urgency, causing people to send their funds to the scammers quickly. This is a common scheme used to lure people into transferring money to fake accounts.
Many cryptocurrency investors are not aware of how to spot scams. Some are unaware that scammers are using a different method than traditional businesses. These criminals may use social engineering to get into their victims’ digital wallets, posing as a trusted community member, tech support, or a friend or connection. The goal is to manipulate the user into believing they are dealing with a legitimate entity. The goal is to rob people of their funds.