Over the last months, Bitcoin has
taken many people for a ride. The value of Bitcoin rises, and at times it also comes down. Market
analysts and pundits have their own version
of the story. Only time will determine the future of this controversial
cryptocurrency. Will it continue to boom or its bubble will burst?
One thing is for sure: The meteoric
rise of Bitcoin has attracted attention from the mainstream media time and
again. South Korea is no exception to this Bitcoin scams as more of its
citizens are being sentenced for running Bitcoin Exchange pyramid schemes.
One of the benefits
of cryptocurrencies is that
the government does not control them. But
this aspect makes them susceptible to fraud. As cryptocurrencies have become
popular, Bitcoin scams have also multiplied. According to a recent study, one
Bitcoin scam is done every day.
Here
Are Some Bitcoin Scams Which You Need to Know
1.
Dubious Bitcoin Exchanges
The South Korean government recently
unearthed one of the most significant fake exchanges for Bitcoin known as BitKRX.
To avoid losing your money you need to stick to public exchanges and investigate the reputation of exchange of bitcoin before you risk investing your money.
To avoid losing your money you need to stick to public exchanges and investigate the reputation of exchange of bitcoin before you risk investing your money.
2.
Ponzi Schemes
Bitcoin scams always operate on the
principle of pyramid schemes where they take funds from new investors to pay
older investors.
3. Fake
Cryptocurrencies
Scammers always like to trick people
that they are introducing an alternative to the higher priced Bitcoin. You
should try to do some background checks before you invest in the emerging
cryptocurrencies.
4.
Old School Scams
If you get a call
from somebody claiming to be from IRS and they tell you that your taxes were due would you
send the money? Imagine, most Americans do. This
is an outdated method that aims to trick you into
transferring your money to a specific
bank account owned by these scammers. Now, these con men have also started
doing the same with Bitcoins. They always contact you convincing you to
transfer Bitcoins to their wallets. Do not trust such calls or emails.
5.
Malware
This is a trick that scammers have been
using for an extended period to obtain passwords required to withdraw money
from your bank account or credit cards. These scammers are using the same
technique to drain your money from the Bitcoin wallet. You need to protect your
computer or laptop from malware to ensure that your wallet is safe.
A
Final Word
Do not increase the chances of losing
your money by falling prey to the above Bitcoin scams. Stay alert for potential
scammers.
Most people think that Bitcoin exchange is the only
cryptocurrency on the market today; in fact, it’s the first crypto amongst
dozens of other new cryptocurrencies. A successful cryptocurrency should be backed by a strong business model for it to
thrive in the market.
Enjoy
a Seamless Experience in South Korea.
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