Scam Crypto Currency Red Flags

[Treat1234 0]

3 hours ago, Jump said:

Yes I think that you  are right because scammers right now is getting smarter and those that creating frauds and scams are making sure that they will not be caught and it is hard for us here in cryptocurrencies because we only need to earn.

They are very smart at all way you try to avoid them they also try to make a way to break into to achieve what they intend.we all need earn and the scammers need earnings by forced without working for it 

[koussai999 1986]

We must be careful when you deal with people or very unknown parties when we deal with cryptocurrencies because many parties work hard to steal your money.

[Virgil dijk 1431]

This is really nice I think this will really help for identify scam ICOs and scam tokens so we can know which one to invest on, because many people has loosed alot of many to scam tokens and ICOs.

[Rahul11 292]

On 10/26/2019 at 8:10 PM, GhoulSlayer said:

We all want to invest in a legit company in the crypto currency world but like everything money related there are those who wish to take your money and run leaving you with nothing. Here are some red flags to help you determine if a token or ICO is not on the up and up.

 

#1. The Team Members

A real legit company will list the full names of all team members along with their background and experience. I find team members who also have LinkedIn pages with their full work history to be the most credible. Watch the photos posted. I have seen cropped, vacation and even cartoon characters. Unless a professional photo is present, I say avoid.

#2. The White Paper

Most white papers are used as a marketing tool. They will tell you about the service/product being offered. A rule of thumb is 2500 words minimum, it should have key product or service highlights. It is a marketing tool and should read like one. If the white paper seems unprofessional and doesn't leave the reader with a better understanding of the product or service offered as well as the benefits, it's a red flag the person didn't understand what the white papers purpose was.

#3. Blockchain & Source Code

Blockchains are a good thing. It's an open transparency into the dealings of a company who deals in crypto currency. The blockchain records everything that has happened since the company went live. Any alterations to a blockchain, like restarting a blockchain, these companies should be avoided. The source code within the blockchain should always be visible as this is what crypto currency is all about open transparency. If a company is hiding a source code something is not right and this token/coin should be avoided.

#4. Company Public Statements

A public profile and presence by a representative is vital to a companies image and public trust. Image is everything and the smallest public infraction can send even the biggest companies spiraling. How professional is the spokesperson? Does he or she always act with the companies best interest or are they combative? A company representative reflects the company, how the company works, how the company is run. Public statements become public record, and the utmost care for a spokesman must be taken into account, as their future depends on it.

While this is just a short list you may have other points to add and I encourage them all! Hey if you liked this post please give me some love!

In this market I also get many scam project and I lost some of my funds on these sites. We need a platform where we will get only genuine projects to invest. In yobit exchanger we get investment option but there are many dead projects listed.

[Ndayebo8 0]

@GhoulSlayerthank you for this kind of update although it is long but it sounds very good very nice to the patient ones that stay to read it. Scam projects are unwanted project so we hate them.

[Ayush Singh 1175]

I agree with you as a normal person we all want to invest our money and time in the legit company and sites so that we could be able to earn good and will be able to learn also and for that all the above points should be obeyed properly from a legit company or sites.

[kizz 3370]

I am scared trying to invest because I do not want my money lose and there are many scams out there especially in trading and investments so it is better to make research first before investing your money.

[DreamStage 2105]

Thank you for such information guidance as i had no clue about some of the points you have just mentioned.

 

From my own perspective the team members are something important that if i see their "faces" on the website it feels kinda strange. White papers on the other hand are what motivates me and gives me motive and interest in participating in such ICOs launches.

 

Other points were the ones i had no idea that could be worth checking for.

[TimopheyKa 3900]

You need to be careful with this friend! The main thing is not to panic, and trust only your intuition! Because I often see fraudulent projects that offer to make a big takeoff for your money, that is, to multiply money! Of course this is a deception, but many are led to it : ((

[Zalaks007 543]

Yes to avoid being scam in some cryptocurrency projects always request for the project white paper and also make a research on the project members just to avoid being scammed.

[Hasnain khan 1]

I also think that if we want to invest in a real company and get income from there, then the company's credibility is very important but if you look at the company in which you invest, you see that there is a problem.  Stay away from all kinds of companies and I think those team members are there  Stay away from them.

[CryptoLover21 0]

This is very good information for all the people who wants to invest. I have already been scammed by one of the project of the cryptocurrency and I don't want to repeat the same.

[Iriswolfgang 200]

Many people here are trying to create projects that is something suspicious and will only scam people and they are gonna take advantage to those people that is eager to earn and they can take their money away from them together with the lies and the fake promises that they are making to make sure that many users will use their projects

[lange_marck 40]

Those who hides their identity are afraid that if anything goes wrong with their project, the investors will come after them, which is only natural and comes with the teritory...

[Razan alikac 1899]

The white paper that explains in a detailed and easy way the objectives of the project, its future and the way of construction, in addition to knowing the personalities of the team members and the history of their accomplishments, encourages investors to buy, and this may be what investors are looking for most, as there is no investor who wants to lose his money.

[SuperCrypto 7193]

Cryptocurrency ICO scams have become very common. And it became difficult to detect. But taking caution is an obligation to read about the currency project and the possibility of implementing the plan developed by the currency team and following up on the team's developments for the project.

[Syedbesharat 5423]

The scammers are now become advance and invest into website and create fake white papers for attraction.I almost got scammed by them but lucky me who doesn't invested yet and find out the project is scamming. For me whenever I look into new projects away from authentic sources find scamming projects just like last week. So I advice take time and check them out at your authentic sources. Which you follow, their project get scam label at telegram and you can easily know they are scammers. 

[yonkii 3205]

Thanks for the warning and the valuable information contained in this post. We will be more safe is we just follow these steps during our crypto adventure and always do research on the team and all the features of their coins.

[Sykkuno 2887]

This is important lesson here for all beginners and all investors. There are always many red flags in scam projects as they can't hide and can't give answers many times so there will be a lot of manipulation from them trying to make some money fast and exit scam. 

[bogdanoff 3173]

It is very important to locate the team members and do deep research to find if they are real or fake. This is a hard part because many times they can fake identities and even have fake linkedin that are used a lot often to validate the people behind a project.

[cryptovlek 2597]

On 10/26/2019 at 5:10 PM, GhoulSlayer said:

#4. Company Public Statements

A public profile and presence by a representative is vital to a companies image and public trust. Image is everything and the smallest public infraction can send even the biggest companies spiraling. How professional is the spokesperson? Does he or she always act with the companies best interest or are they combative

I will stay with this one that I think it is also important as the rest but overlooked. I remember a coin that I owned a lot and this was hbar on binance had them. Really I found that some of the people involved with it are unprofessional and looking very shady. I don't know if the coin will succeed or has really good intentions it seemed to be a very good idea but if there is no professionalism then I don't see future.

[Fixfin 2569]

You explained quite well many of the details we have to investigate when investing in any crypto project and we need to be aware that the market is most of the times unregulated and nobody will take action against a scam project especially if they have hidden their identity very well.

[kryptonick 2659]

The whitepaper is not important because lately they make the best whitepapers you've ever seen and probably there is someone making these for all projects for a payments. I don't look at whitepapers at all anymore. Not even websites as they can make a perfect website in no time. I look at the people and the funds that are behind a project. This can fail too but it reduces chances. If binance or novogratz for example are backing a project then I do my research too.

[percare 3192]

On 10/26/2019 at 5:10 PM, GhoulSlayer said:

We all want to invest in a legit company in the crypto currency world but like everything money related there are those who wish to take your money and run leaving you with nothing. Here are some red flags to help you determine if a token or ICO is not on the up and up.

I didn't want to invest in ICO. I saw them as high risk and avoided, same with defi but defi was even less trusted with no team known and even unaudited code. I stay with bitcoin and invest in some altcoins that have been years in the market.

[Mwangi 5611]

Oh wow they are so many so its important to really keep this really careful , I have been in the same kind problem so really we need to work as hard and we need to really be careful of the coins that die off. I have bought so  many of them that are dead and I have bought some and lost them so we need to be careful