How to identify and report social media crypto scams

Fake crypto and cryptocurrency giveaways on social media are a huge risk for anyone who invests in cryptocurrencies. These scams can be spotted by checking for a blue verification tick next to the handle or looking for password-protected links.

Cybercriminals use unauthorized images of celebrities or high-profile businesspeople to create a sense of legitimacy for their scams. Learn how to recognize these red flags and protect your investments and personal information.

Reporting a Scam

Many scammers use social media to phish for sensitive information like your account passwords, credit card numbers and more. You can help stop them by reporting a scammer whenever you see one on your account.

The number of followers an account has, whether the name matches the person’s real name and whether the posts seem authentic are all good indicators. You can also check for red flags such as fake photos and accounts that appear to have been created very recently.

Other warning signs include requests for payment in crypto, giveaway scams and extortion scams. For example, a fraudster may tell you that they have your passwords or compromising photos and ask for Report crypto scams to stop them from publishing them.

Fraudsters also impersonate new or established businesses to pitch fraudulent crypto coins and tokens. Look for excessive marketing such as online advertising and paid influencers, news articles and a slick website to identify these scams.

Identifying a Scam

Social media scams are a common and complex problem. Fraudsters can impersonate brands, celebrities and people you know in order to steal your money and cryptocurrency, as well as personal information and passwords. They can also create an endless number of fake profiles and ads, putting billions of users at risk.

For example, fraudsters often use social media to promote fraudulent crypto investments. They may claim that a company has entered the crypto world by issuing its own crypto coin or token, and they can even create social media ads and news articles to support their claims.

Other scams involve people posing as high-level business or government employees to trick users into sending them payment. For this reason, it’s important to verify the identity of anyone who contacts you via social media. Most social media platforms have a built-in feature that allows you to report scammers, so you should always use this option. Typically, you will be asked to select a specific reason for reporting the account.

Changing Your Usernames and Passwords

Changing your usernames and passwords can limit the damage that can be done in what is known as a “cascade effect” hack. In addition, using a single username for every type of account limits the chance that fraudsters can use info from one account to guess your password for another.

Fraudsters are using social media to advertise fraudulent crypto investment opportunities. They may cite celebrity or high-profile business people to create a sense of legitimacy, and they often promise giveaways of free crypto or cash. Always maintain a healthy level of skepticism when you see such ads on social media, and always check the authenticity of the scheme’s backers through online research.

If you are unsure about whether an advertisement, message, or contact is legitimate, ask for proof before sending money or access numbers. Do not click links from any person who messages you asking for help or financial aid, and ignore pleas for personal information.

Getting Help

Fraudsters use social media to perpetuate fake cryptocurrency and investment scams. These scams are designed to capitalize on a user’s instinct to trust by impersonating a celebrity, business, or influencer to gain access to personal information and crypto assets. Scammers will often ask questions that resemble security questions from your bank account or other financial institutions to steal your information. Beware of posts claiming to have a “bitcoin giveaway,” and avoid clicking on any links to such sites.

Scammers also use phishing to target digital wallets and access to crypto assets. These scams often use malicious links to download malware or steal a user’s private key. This can allow fraudsters to spend their victim’s crypto without them knowing it. For this reason, it is important to use Aura’s #1-rated identity theft protection to keep your money and accounts safe. Try it for free today!