Are You Vulnerable to Forex Crypto Scams? Find Out

You may encounter ads every day encouraging you to take advantage of a forex trading opportunity that is supposed to double and triple your investment. You might also have thought about holding or investing in cryptocurrency, but have heard of the many scams surrounding it.  How can you stay safe with forex and cryptocurrency when there are so many fraudulent versions on the internet? Can you distinguish fraudulent from legitimate opportunities? 

You need expert advice before putting your money in forex and cryptocurrency. Crypto-trace provides resources and guidance on how to avoid cryptocurrency scams. If you have been a victim of one of these scams, consult with our professionals and we will create a crypto intelligence report that you can take to the authorities and will help you get results.

What is Forex?

Forex simply stands for “foreign exchange.” it involves the trading of currency pairs, comparing them to each other and profiting from their movements up and down in value. Forex is an extremely popular trading style and is the most active financial market. It can be quite profitable for large investors with multiple people trading around the clock with automated devices.

Smaller investors often get crushed by the volatility of forex, and it often takes individual investors several tries and failures before they start making money.  Many people are attracted to forex because it involves, currency, something they understand. However, the currency market moves so fast that it can be hard to keep up without assistance and experience.

What is Bitcoin?

Bitcoin was the first of many digital currencies. It premiered in 2009, and since then, hundreds of cryptocurrencies have appeared. For many people, bitcoin and other cryptocurrencies represent freedom from government regulation and the convenience of having a fully online currency. 

Bitcoin and cryptocurrencies are managed by the blockchain, which is a decentralized ledger. It is run by a peer-to-peer technology that controls transactions. This may sound liberating, but it is the source of many bitcoin scams. A fake bitcoin service can claim to manage your bitcoin on a fake platform that has nothing to do with the blockchain. Because it is not government-regulated, crypto scams can be difficult for authorities to track. However, services like crypto-trace can provide much-needed assistance.

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Why Are There So Many Forex Bitcoin Scams?

If you search forex and bitcoin, sadly, you are likely to come up with as many problematic opportunities and legitimate ones. Why are there so many forex bitcoin scams? The main reason is that forex sounds easy and cryptocurrency is new and trendy. Older forms of trading, like stocks and bonds, can sound old-fashioned to people. Forex and bitcoin trading took the internet by storm and are associated with a new generation of trading. 

Foreign exchange sounds like something most people understand and deal with regularly since it is connected with currency. However, the fluctuations are so rapid, many forex traders end up signing up for more than they bargained for. Even in the best of situations, forex is risky. Scammers take advantage of this uncertainty to conceal their theft by saying it was a loss and telling their clients, “Well you knew forex was risky.” Sometimes there are losses, but in the case of forex bitcoin scams, the broker might have pocketed it. 

Bitcoin is popular because it is new and exciting. It appeals to people who are skeptical about government regulation. The downside of cryptocurrency is that there are fewer protections. Also, cryptocurrency processes are complex for those who aren’t used to the concepts. Crypto scam brokers take advantage of the fact that many people still don’t quite know how cryptocurrency works to cheat their clients.

Common Types of Bitcoin Forex Scams

The following are common Bitcoin Forex scams to guard against: 

Forex Crypto Scam Brokers

Trading appeals to many people, especially in the gig economy which has been complicated by the COVID-19 pandemic. There are unfortunately many fake investments involving forex and bitcoin. Some of them are advertised on social media. People may start chats with people and offer to exchange dollars for bitcoin for some phenomenal forex investment. Then they steal the money. 

There are Forex crypto scam brokers who appear like legitimate financial advisors but in the end are simply trying to get people to open accounts only to hold onto their money and never allow clients to withdraw it. The way to avoid this is to work only with regulated brokers. If a broker is regulated, you can complain to a regulator and can get a scam broker to lose their license.

Fake Apps and Platforms

There are many apps, platforms, and tools that facilitate forex trading or storing bitcoin. The fact is that many of these are fake and are designed to steal money and data from customers. Some platforms mimic actual trading when the broker simply pockets clients’ money.  Fake bitcoin wallet apps are advertised as a way to protect virtual coins when in fact they are manipulated by the developers to steal the bitcoin. Do not assume that because an app is sold on Google Play or Apple’s iStore that it is necessarily safe. The apps sold on these platforms are not inspected. Only used apps from a reputable source.

Phishing Forex Crypto Scams

Phishing is a way to steal data or in some cases, to take over their computers and identity. A forex broker might claim to need personal information, such as bank accounts, copies of photo IDs or other important documents to make transactions on their behalf. With cryptocurrency, the person providing service may ask a customer to install certain software that will give them access to their computer so they can assist them with bitcoin storage and they could rob them of bitcoin.

Don’t Let Fraudsters Get Away with Stealing Your Money
Report the Crypto Scam

Forex Crypto scams are all over. Don’t let the fraudsters get away with stealing your money or they will do it to others. Talk to Crypto-Trace experts who can create a crypto intelligence report that will aid authorities in tracking down the scammers. With this detailed information gathered and presented by our professionals, the authorities will be able to catch the fraudsters and improve your chances of getting your money back.