What are cryptocurrency scam like?

To understand how cryptocurrency scams work you have to understand what a cryptocurrency is, at least from a basic point of view, why do I say this? Because cryptocurrencies are actually a cipher and this makes cryptocurrencies can be anonymous guys.

Quiero mencionar algunas de las formas que usan para estafar en criptomonedas.

• Misleading websites.
• Phishing.
• Rug Pull.
• Fake cloud mining.
• Fraudulent ICO's.
• Fake Airdrops.

Source - Edited in Canva

One of the most used nowadays are the "Rug Pull" guys and this is known by many people and they always try to be alert with this, even in NY a law was passed against this kind of malicious actions, but this law will only be available in NY, outside this state it is totally legal, in a decentralized world nobody can do anything and much more when the attackers are very cunning.

Actually I have written this publication because I have been struck by something that I have seen recently and it is about the strategy "inflate and sell", it is something very ingenious and if we know the internet well we can make good money with this.

Disclaimer: This is for entertainment and educational purposes, I take no responsibility if anyone practices this at home.

What is the purpose of the "pump and sell" strategy?

The purpose of this strategy is very simple guys, it is about creating a cryptocurrency and then attract investors to invest in your cryptocurrency, that is to say, to buy your cryptocurrency and that way have market capitalization and can raise its value, but I must mention that the authors of this scam or this injustice have at least 50% of these cryptocurrencies and do some kind of massive marketing to attract many investors and in that way, in a few weeks they have already managed to sell all their cryptocurrencies and when the scammers manage to sell their cryptocurrencies, the cryptocurrency drops its value to an unbelievable point.

Source

How does the "Rug Pull" work?

"Rug Pull" are very famous in the cryptocurrency world because simply scammers really like to do this kind of frauds, I have read a lot about this and honestly I think that in this kind of frauds there is something much more lucrative for the scammers and it is that these clever scammers install backdoors in the cryptocurrency code and take the liquidity funds and that can be very serious, honestly I do not agree very much with this, this should be seriously punishable by law.

"Rug Pull" are very famous in the cryptocurrency world because simply scammers really like to do this kind of frauds, I have read a lot about this and I sincerely believe that in this kind of frauds there is something much more lucrative for the scammers and that is that these clever scammers install backdoors in the cryptocurrency code and take the liquidity funds and that can be very serious, I sincerely don't agree very much with this, this should be seriously punished by the law.

What are my tips for avoiding cryptocurrency fraud?

One of my best tips is to be very well informed who is behind the system, I always recommend reading reviews, if the project has at least 3 months giving money, among other things guys, another thing I would like to mention is that we should not be fooled with high returns, that is, if a person offers us a return of 100% in 24h just ignore and continue working on our projects, I have been a long time in this cryptocurrency and a return of such magnitude is impossible guys, be very careful.

From the desk of Carlos Mendoza, all rights reserved.