Bitcoin scams, and how to avoid them

Bitcoin has made quite a splash in recent years, increasing exponentially in both use and value across the world. As an alternative to fiat currency, bitcoin grants users the autonomy to do what they want with their currency, without the stuffy, often predatory regulations imposed on users by traditional banking platforms. Its decentralized approach to governance makes it enjoyable to use for many who would rather purchase and trade privately, and for those in nations without a strong fiat currency system. Those in regions where the currency is weak can use BTC freely, and enjoy the benefits of a level platform. No one nation’s bitcoin is more valuable than another’s — meaning transactions can take place anywhere in the world without the need for conversion fees and the like.

As with anything, there are bad players that should be avoided to get the most out of your BTC. As bitcoin grows in popularity, so do scams and tricks, so having some general knowledge of what to avoid goes a long way!

While it may seem like this is obvious, fake exchange platforms are a lot more common than you may think. As The Balance reports, 2017 saw bitcoin exchanges like South Korea’s BitKRX reported as complete scams — after they’d stolen a large amount of funding from a number of people.

The best way to stay on top of legitimate bitcoin exchange platforms is to seek out trusted sources of information, user reviews, and bitcoin forums that discuss the newest and latest in bitcoin information and updates. When in doubt, sites like TechCrunch, CoinDesk, and CoinTelegraph have been around for a while and are leading sources of reliable bitcoin information.

Sure, it is possible for there to be a new cryptocurrency that you just haven’t heard about. But if big bitcoin exchange platforms aren’t offering it as a bitcoin alternative, and there’s not a whole lot of information on it from reputable sites, chances are you’re dealing with a fake cryptocurrency. Stay far away from these types of cryptocurrencies, as their creators may just take your money and run. The best practice for assessing a cryptocurrency’s legitimacy is sticking to what you know, and only branching out to try something new after extensive research of articles from verified bitcoin sources, and after seeing the cryptocurrency offered on large, reputable platforms. Even then, it pays to still stay cautious. In fact, in the world of finance and tech, there’s no such thing as being too cautious.

Again, this may seem obvious, but as bitcoin use increases, so does the amount of malware floating around the internet. Any emails from companies you are not familiar with asking you to click here or there to access BTC should be immediately discarded, then permanently deleted. Check with your BTC wallet platform to verify its means of communication. Many BTC platforms employ a number of practices to ensure the authenticity of their communications. This could include things like two factor verification codes, emails with your unique account number embedded, and more. When in doubt, almost all reputable BTC platforms have a number that you can call to get detailed information and to determine whether or not any correspondence you have received is legitimate. Malware comes in all shapes and forms, including emails, links, push notifications, and text messages. You can never be too safe when it comes to identifying and discarding fishy correspondence.

There are a number of bitcoin scams to be mindful of, but these are among the most common. Securing your bitcoin on a platform, like ours, where security is the highest priority, is the first step in ensuring you remain well protected from scams and hacks. Explore our totally free, fee-free product line today, then sign up for our bitcoin account, where you can earn up to 9% in yearly guaranteed returns!

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