One of the most common cryptocurrency scams is the investment or “pig butchering” scam.
In this scam:
- A scammer contacts someone through social media, messaging apps, dating apps, or a wrong-number text.
- They build trust over days or weeks.
- They convince the victim to invest in cryptocurrency through a fake trading platform or app.
- The victim may initially see fake profits and even be allowed to withdraw a small amount.
- Once larger sums are invested, the scammer blocks withdrawals or demands additional “fees” or “taxes.”
- The money disappears, and the scammer vanishes.
Other very common crypto scams include:
- Phishing scams – Fake websites, emails, or messages that steal wallet passwords or recovery phrases.
- Fake giveaways – Scammers impersonate celebrities, influencers, or companies and promise to double any crypto sent to them.
- Rug pulls – Developers launch a new crypto token, attract investors, then abandon the project and take the funds.
- Fake customer support – Someone pretends to be wallet or exchange support and asks for your seed phrase.
- Pump-and-dump schemes – A group artificially inflates a coin’s price and then sells, causing the price to crash.
A useful rule: Anyone asking for your recovery phrase, promising guaranteed returns, or pressuring you to act quickly is very likely trying to scam you.
Never share your wallet’s seed phrase or private keys with anyone. Legitimate exchanges and wallet providers will never ask for them.
