This article has been translated from English to Gen Z Slang.
The crypto world is lowkey blowing up rn. 🚀
And so is the HYPE, fam. 😎
With crypto prices going straight to the moon (and sometimes crashing like my WiFi), people be makin' bank or losin' it just as fast, 'n that's got everyone from your grandma to the news talkin'. Cue the social media buzz! 😜
As people get more into crypto, scammers are out here, too, tryin' to get their slice. 🤡
Scammers are always schemin' on how to snatch your cash, and the massive glow-up of crypto is giving them all the opps to be shady. 🤔
With all these tales of twenty-somethings and thirty-somethings goin' from zero to hero in crypto, the noobs are all like, "lemme get in on that!" 😅
But their lack of understanding on how crypto works mixed with the "gotta get that paper" energy can totally blind 'em to crypto's dangers. 💀
Scammers are out here feasting on the crypto hype, leaving gullible peeps wrecked with nothing but Ls. 🚨
In 2021, crypto crime hit a whole new level, fam. According to Chainalysis, a blockchain analytics company, scammers snatched $14 billion in crypto! 💸That's a savage 79% increase from last year when they “only” made off with $7.8 billion. 💀 Scamming became the OG type of crypto crime (with stealing hot on its trail).
In the U.S., reports from the Federal Trade Commission (FTC) show crypto scam reports shot up to almost 7,000 peeps, losing over $80 million, with a go-big-or-go-home loss of $1,900 per person. 😭
Compared to the year before, this was a 12x blowup in reports and nearly a 1,000% boost in cash lost! 😲
If you’re vibin’ with crypto, you gotta stay woke about the risks. 🔍
Bc of the next-level leaps in reported crypto scams, it’s super important you learn:
- What crypto scams are
- The common types of crypto scams
- How to spot these crypto scams so you can dodge ‘em
- How to protect yourself from getting played
That’s what this guide has your back for. 🤝
What is a Crypto Scam?
A scam is basically a sketchy game someone plays to finesse you out of your stuff, ya know? 🎭
A scammer will pretend to be legit and try to snatch your bread, personal deets, or both. 🕵️♀️
A crypto scam keeps it cool, but instead of asking for dollars, the scammer wants that sweet crypto. 💰
Fraudsters and cons come up with all these scams to get you to buy and send crypto to them. But what pulls you in usually vibes with the same ol’ tactics non-crypto scams use:
- “Don’t miss out!” 🤩
- “Get in on the ground floor!” 🎉
- “There’s zero risk!” 🙅♂️
- “100% Returns! Guaranteed!” ➰
Even their promos look familiar: spam texts and emails, social media posts and DMs, online forums, group chats, and even fam. 🙄
The ending is always tragic tho—hella peeps end up with stolen crypto or trash “shitcoins”. 😒
Most crypto scams are just a remix of the classics, but they're even tougher bc Bitcoin and its buddies ain't governed by any big boss, and once those coins are sent, it’s game over—they're irreversible. ⛔
With a bank or credit card scam, you can usually pull up on your bank or card company and reverse the charges. 🚨
But crypto's all free-range…there's NO big boss to even hit up. Send that crypto to a rando, and it’s adios, can’t undo or cancel it. ❌
So if you’re getting played in a crypto scam, there’s zero backup or chance to dispute. 📉
Betting too much cash and losing it means…
You're on your lonesome, champ. 🤦♂️
Catch ya in the next lesson where I'll spill the tea on the common scams and red flags to watch out for. 👀