Bitcoin prices have been hovering around $9,000 for quite a few days making it a lucrative investment opportunity. The biggest challenge with the Bitcoin industry across the globe is regulation. There is still a long way for Bitcoin to become part of the common man's general investment portfolio.
Ashish Agarwal, Founder at Bitbuddy (a Bitcoin marketplace startup) said, " The governments themself have a lot of complexity in regulating Bitcoin but they can regulate the exchanges and other crypto service providers. As far as Bitcoin scams are concerned, one should always stay away from any type of lucrative schemes. Before giving any money to a website/mobile app, know the company and founders before. ready about them, check their recognition."
Mr Agarwal further added, "Never fall for mining schemes, there is no such real business exists. There are more than 5000 identified crypto assets around the globe. 99% of them are scams. People have the common mindset "Bitcoin is very expensive, let's invest in some cheap price coins." Please don't consider just price, look at the maximum supply, circulated supply, market cap, last 24 hours transaction volume, and the most important concept and the team behind the coin. Always be careful, to whom, and what you are investing the money for.
If you are looking to invest in Bitcoin these are the ecessary precautions one should keep in mind
Fake crypto investment platforms
Fake bitcoin exchanges are a real threat! Back in 2017, a South Korean fake exchange was operating under the name of BitKRK. While it looked legit and presented itself as a part of the crypto trading community, it swindled investors and buyers out of millions of dollars before it was intercepted by the South Korean financial authorities.
You must avoid all fake cryptocurrency exchanges. Stick to the reputed and recognized bitcoin exchanges only. Check Bitcoin forums and subscribe to authentic RSS feeds or notifications so you receive the news of fake exchanges on time. or, stick to trustworthy Bitcoin platforms for genuine investment opportunities.
Others less credible cryptocurrencies
After the success and skyrocketing demand of Bitcoin, several new cryptocurrencies have been mushrooming across the globe. It is indeed difficult to keep an eye on the authenticity and performance of each one.
New altcoins can be cheaper, which makes them more of a lucrative investment opportunity to most new investors. The selling idea behind these new currencies is that its already too late to invest in bitcoin and one must seize the opportunity to invest in one of the new and upcoming ones to make more money!
Well, thats not at all true. Always remember that My Big Coin was taken down after it sold fake alt currencies for $6 million to customers.
However, it is important to take a look at the basics of any altcoin including its maximum supply and circulation. For example,Bitcoin maximum supply is 21 million exactly and 18 million are in circulation. Bitcoin is one of the most valued, trusted and most accepted cryptocurrencies across the globe.
Cloud mining allows regular investors without expensive hardware to mine cryptocurrencies. It can be indeed lucrative if you consider that you can mine altcoins like Bitcoin sitting at home without investing in exuberantly priced hardware.
There are a few cloud mining services that allow users to rent server space at a fixed rate for mining altcoins. However, if you are a first-time investor, how do you know which services are genuine, and which ones just want your hard-earned money?
One way to identify the fake ones is by their lofty promises. They promise implausible returns on your investment and never mention the hidden fee that applies on these returns. These servers are smart designs to take money from unsuspecting investors. No authentic companies should be able to guarantee a profit.
Always be vigilant while signing up for cloud mining servers. Think about the security of your data on your system before you go online on a shared server.
Pump and Dump schemes
It is not uncommon for groups of scammers to buy a new altcoin en masse. That increases the market price of the cryptocurrency momentarily and triggers FOMO (fear-of-missing-out) among other investors.
As soon as the new investors begin investing in the new coin and the prices shoot up higher, the scammers sell their share of coins for a higher price.
It is illegal in the securities market, but pumping and dumping are more than common in the grey zone of cryptocurrencies. Avoid pump and dump schemes by choosing more popular and stable crypto options like Bitcoin only.
New investors dont always understand the ins-and-outs of cryptocurrency before and during investing. This has given several malware programs the chance to evolve. Malware programs now pose newer and bigger threats to people.
Modern malware that targets cryptocurrency users and investors can latch onto the user accounts to retrieve the users online wallet balance, drain their account and replace their authentic address with that of the scammer.
Apart from updating your antivirus and system firewall, you need to make sure that you are visiting a secure and trustworthy platform that does not prompt auto-download of .exe files or ask you to download suspicious attachments.
Read the original:
Crypto scams are on the rise: 5 ways to avoid them - Livemint
- Prominent Bitcoin Whale Predicts Mass Altcoin Extinction Ahead of Next BTC Rally - The Daily Hodl - July 5th, 2020
- PrimeXBT Comparison: Will DeFi Defy The ICO-Fueled Ethereum All-Time High? - Ethereum World News - July 4th, 2020
- These Altcoins Set a New ATH While Bitcoin And Ethereum Tank | NewsBTC - newsBTC - July 4th, 2020
- Renowned analyst predicts Bitcoin to outperform altcoins in 2021 - FXStreet - July 4th, 2020
- Ouroboros, as explained by IOHK researchers - Altcoin Buzz - July 4th, 2020
- XRP Price Can Outperform Bitcoin in the Short Term Heres Why - Cointelegraph - July 4th, 2020
- Ethereum, Chainlink and Tezos price analysis: June 28 - AMBCrypto - June 29th, 2020
- This top-30 altcoin is integrating with Chainlink (LINK) for bolstering smart contract ecosystem - CryptoSlate - June 29th, 2020
- Brutal Drop In Altcoins Anticipated as Bitcoin Dominance Projected to Surge | NewsBTC - newsBTC - June 29th, 2020
- Chainlink (LINK) Near New All-Time High Heres 3 Reasons for the Rally - Cointelegraph - June 29th, 2020
- Pantera Capital: Bitcoin Set to Begin Meteoric Bull Run But Ethereum and Certain Altcoins Will Outperform BTC - The Daily Hodl - June 29th, 2020
- Most traded crypto in June 2020: are we in the altcoin season? - Capital.com - June 20th, 2020
- Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Altcoin season just around the corner - FXStreet - June 20th, 2020
- Top Crypto Strategist Predicts Bitcoin (BTC) Will Surpass $20,000 in Just Two Months With Ethereum Leading Next Altcoin Rally - The Daily Hodl - June 17th, 2020
- Liquidations May Loom as Altcoin Bulls Hold Despite Shorts Spiking - Cointelegraph - June 13th, 2020
- Tether.io becomes second largest altcoin behind Ethereum tokens - HedgeWeek - June 13th, 2020
- ETH Miners Will Have Little Choice Once Ethereum 2.0 Launches With PoS - Cointelegraph - June 13th, 2020
- Sparks fly as developer suggests an altcoin will overtake Bitcoin in the next five years - CryptoSlate - June 9th, 2020
- Bitcoin Price To Hit $150,000; Ethereum At $9,000 In Next Bull Run, Blockfyre Founder Predicts - International Business Times - June 9th, 2020
- Despite Its Recent Controversy, This is the Latest Altcoin Ready to Moon - Bitcoin Exchange Guide - June 9th, 2020
- Why An Even Deeper Correction Is Expected For The Crypto Markets Hottest Altcoin | NewsBTC - newsBTC - June 8th, 2020
- Analyst Predicts Next Bull Run Will Send Bitcoin to $150K and Ether to $9K - Cointelegraph - June 8th, 2020
- Venture Capitalist Predicts Bitcoin Boom to $150,000, Says Ethereum and Four Altcoins Will Outperform BTC - The Daily Hodl - June 8th, 2020
- Stocks aren't the only asset climbing - InvestorPlace - June 8th, 2020
- Cryptocurrency in Undeveloped Nations - Altcoin Buzz - June 8th, 2020
- Ethereum, Binance Coin, Algorand Price Analysis: 03 June - AMBCrypto English - June 8th, 2020
- Ethereum looks bullish as its fees surpassed BTC's on June 7 - CoinJournal - June 8th, 2020
- Crypto Index Analysis: Boosted by altcoin breakout - Capital.com - June 2nd, 2020
- Ethereums price rush may run out of steam - AMBCrypto English - June 2nd, 2020
- ETH showing strong signals as EOS and XRP likely to regress - CoinJournal - June 2nd, 2020
- Cardano and Ethereum Price Surge Alongside Bitcoin Will XLM Follow? - Cointelegraph - June 1st, 2020
- Ethereum Chart Makes It Clear: Altcoin Season Is Already Over | NewsBTC - newsBTC - June 1st, 2020
- Max Keiser: There Isn't Anything Crypto Altcoins Do That Bitcoin Won't Do - Bitcoinist - June 1st, 2020
- Altcoins Outpace Bitcoin in Broad Crypto Rally: Cardano and Ethereum Biggest Gainers - The Daily Hodl - June 1st, 2020
- Are Altcoins Silver To Bitcoin As Gold? Unusual Correlation Discovered | NewsBTC - newsBTC - May 20th, 2020
- Polkadot: The Interoperable Blockchain Network - Altcoin Projects - Altcoin Buzz - May 20th, 2020
- Beware: this altcoins price action could be part of a pump and dump scheme - CryptoSlate - May 18th, 2020
- Is Tezos rapid progress a threat to both Bitcoin and Ethereum? - AMBCrypto English - May 18th, 2020
- XTZ Price Analysis: Bears Take a Breather on XTZ/USD As Price Swings Past $2.6, Tezos Becomes 2020 Altcoin With STO Pipeline Projects - Latest Crypto... - May 18th, 2020
- Bitcoin Cash struggles with negative pressure, while VET & LINK trend higher - AMBCrypto - May 15th, 2020
- Stellar Cryptocurrency Prints a TD9: Heres Why It Means More Upside is Likely - newsBTC - May 15th, 2020
- As Halving Nears, Ethereum (ETH) Stands More Chances Amid Altcoins - KryptoMoney - May 12th, 2020
- Heres Why Altcoins Bouncing as Bitcoin Retraced From $10K Is Bullish - Cointelegraph - May 11th, 2020
- Ethereum, Stellar Lumens, VET bounce back as alts resist corrections - AMBCrypto English - May 11th, 2020
- Coronavirus & Altcoins: Why are Some Crypto Assets Beating Bitcoin? - Finance Magnates - May 5th, 2020
- Binance Widget Incorporated on Brave Browser - Altcoin Buzz - May 5th, 2020
- Altcoins Face The Most Important Weekly Close in Crypto History - newsBTC - May 2nd, 2020
- Crypto Analyst: Bitcoin (BTC) Selloff Coming Heres Why Ethereum (ETH), XRP and Altcoin Market May Rise in Short Term - The Daily Hodl - May 2nd, 2020
- Bitcoin Yearly Moving Average Price Closes in on All-Time High - BeInCrypto - May 2nd, 2020
- Altcoins Could Get Crushed By BTC Halving Volatility, Heres Why - newsBTC - April 29th, 2020
- XRP, XLM, and ADA Win Big as Bitcoin Speculators Turn to Altcoins - ZyCrypto - April 29th, 2020
- 7 Explosive Cryptocurrencies to Buy for the Bitcoin Halvening - Investorplace.com - April 29th, 2020
- Neo (NEO) Bulls Again Going Against The Resistance Of $9.00 With Strong Pace - The Coin Republic - April 29th, 2020
- Accurate Crypto Sell Signal Issued For Two Top Performing Altcoins - newsBTC - April 26th, 2020
- 3 Reasons Why XRP is Unlikely to Benefit From Ongoing Altcoin Surge - Bitcoinist - April 26th, 2020
- Litecoin News Today - Litecoin LTC Climbs to $42 As Altcoin Market Resumes Recovery - April 23rd, 2020 - Smartereum - April 26th, 2020
- Ethereum [ETH] Makes 95% of the Altcoin Inflows in Q1 to Grayscale Trust Fund - Coingape - April 26th, 2020
- Chainlink, Ethereum lead altcoin recovery effort as BAT stalls - AMBCrypto English - April 26th, 2020
- Dogecoin (DOGE) Price Analysis: Dogecoin Price Shows Sustainability Over $0.0020 To Avoid Break Below The ... - The Coin Republic - April 26th, 2020
- Crypto Billionaire Says One Altcoin Reminds Him of Bitcoin and Ethereums Early Days - The Daily Hodl - April 20th, 2020
- 420 Day in Crypto: Remembering the Class of Altcoins That Went Up in Smoke - Bitcoinist - April 20th, 2020
- Bitcoin Halving: Can Ripple (XRP), Litecoin and other altcoins benefit? - Crypto News Flash - April 20th, 2020
- Ethereum 2.0 Precursor Topaz Testnet Released - Product Release & Updates - Altcoin Buzz - April 20th, 2020
- Why tokens are not the same thing as Bitcoin - CoinGeek - April 20th, 2020
- Basic Attention Token Price Negative Move To Reach $0.15 Support Level - The Coin Republic - April 20th, 2020
- Dogecoin Price Sustaining On $0.0020 Level With Overall Bullish Market - The Coin Republic - April 20th, 2020
- Litecoin LTC price holds steady at $42, but analyst warns of a potential correction - Cryptopolitan - April 20th, 2020
- This Surprising Altcoin Dominates Crypto Trading Volume, Second Only to Bitcoin - Bitcoinist - April 14th, 2020
- Ripples XRP Was The Worst-Performing Altcoin In Q1 2020, Report Finds - ZyCrypto - April 14th, 2020
- HTC Exodus to Offer Monero Mining - Business Partnerships - Altcoin Buzz - April 14th, 2020
- Litecoin LTC price faces headwind, but gains may be on the horizon - Cryptopolitan - April 14th, 2020
- Bitcoin Dominance: 2-Year Uptrend Breaking Could Spark Altcoin Boom - newsBTC - April 10th, 2020
- Ripples XRP Could Be Ready to Pop Off, Claims Analyst - newsBTC - April 10th, 2020
- Ethereum, Tron continue to rally as uncertainty looms over Decred - AMBCrypto - April 10th, 2020
- XRP Price Hits $0.20 as Over 200M Coins Transferred... - Coinspeaker - April 7th, 2020
- 3 Altcoins To Consider In This Time Of World Crises - ZyCrypto - April 6th, 2020
- How is Bitcoin performing after the crash? Altcoins show promise - AMBCrypto - April 6th, 2020
- When Is The Altcoin Season Kicking Into Gear? - KryptoMoney - April 1st, 2020
- Bitcoin Diamond, QTUM, Binance Coin Price: Altcoins inverted flags fly aloft - AMBCrypto - April 1st, 2020
- Microsoft New Crypto Initiative - Blockchain Technology - Altcoin Buzz - April 1st, 2020