Cryptocurrency Trading Risks
Trading crypto is risky if you’re involved with fraudsters. They rely on crypto anonymity, hoping that you won’t be able to find them and get your money back. We have a solution for the issue.
What Are The Risks Of Crypto Trading?
The global crypto market cap stands at $1.08T. It’s one of the largest markets in the world, attracting investors but also scammers. Ever since Bitcoin reached a record value of over $65,000, you can see ads and mass hype of all the cryptocurrencies.
At the same time, numerous exchanges are shutting down, and regulators are filing reports against fraudulent trading firms and people who have abused the crypto market. Trading any asset, including cryptocurrencies, carries risks. Whenever you open a trading platform, you will be informed about the risks of CFD investing and the fact that 71% of retail traders lose their funds. Besides the market volatility, fraudsters are the biggest risk. You can always fall into the hands of an illicit crypto trading brokerage and lose your digital goods.
According to SEC, people lost $575 million in 2021 due to crypto scams. This is why we’re here. Our task is to assist you in recovering your crypto and finding the perpetrator.
How Does Crypto Scam Work?
If you have ever traded online, then you have come across different scammers. These people are quite inventive. They can come up with a nice story, telling you all the right things to convince you to invest.
On the other hand, due to anonymity, criminals started using crypto as a tool for ransom. While before, in cases of kidnapping, theft, stealing of intelligence information, and other kinds of crimes, those involved asked for money or diamonds, Bitcoin is the new trend. In at least 12 countries around the globe, kidnappers asked for the ransom to be paid in BTC.
Maybe you have heard of the ICO – Initial Coin Offering. Once the crypto trend had just started, people were looking for the next Bitcoin. On the other side, scammers pretended to offer it. A new coin that will gain even more value, and you will be the first to take a part of the share.
Fake Crypto Exchange
While you have numerous big names in the exchange game, such as Binance, CoinBase, etc., you have lots of small players trying to compete. Sometimes, these small players offer better rates to attract more investors. Yet, sometimes, these small players are, in fact, fake exchanges waiting for someone to pay the funds, and they’re disappearing. The Internet is flooded with those since the crypto market is not yet entirely regulated.