Is cryptocurrency a scam?

Though cryptocurrency can be an attractive investment, it’s more susceptible to scams than any other payment method. Over $1 billion has been reported stolen through crypto scams between January 2021 and June 2022, according to a report by the Federal Trade Commission.

How do I spot a crypto scam?

Spot the scammers asking you to send crypto. Real companies and government agencies will never tell you to buy cryptocurrency to sort out a problem or protect your money. For help spotting crypto scams, visit ftc.gov/cryptocurrency. And report scams at ReportFraud.ftc.gov. Comments have been turned off for this consumer alert.

What are some examples of crypto scams?

Some scam examples are giveaways, romance scams, phishing, extortion emails, fake company alerts, blackmail, rug pulls, initial coin offerings (ICOs), non-fungible tokens (NFTs), and fake mining apps or networks. Signs of crypto scams include poorly written white papers, excessive marketing, and claims that you’ll make a lot of money quickly.

What are phishing cryptocurrency scams?

In the case of phishing cryptocurrency scams, the false ask for payment is in the form of cryptocurrency. The messages might even be from a cybercriminal posing as a cryptocurrency company that's divulging their initial coin offering (ICO) to appear authentic. 10. Employment cryptocurrency scams