Cryptocurrency is an exciting and fast-growing industry. As with any financial service, it's important to be aware of scams so you can keep your money safe.
The most common crypto scams
Scammers tend to follow recognisable patterns. If any of these sound familiar, read the relevant section below for the warning signs and how to protect yourself.
- Investment scams – Someone guarantees high returns on a crypto investment. Your balance appears to grow, but you can never actually withdraw your money.
- Job scams – You're offered an easy online job, your "earnings" build up in a fake account, but you're asked to pay a fee before you can withdraw.
- Phishing scams – You receive a message pretending to be from a legitimate company, asking you to log in via a fake link to steal your credentials.
- Marketplace scams – A seller takes your crypto payment and disappears, or a buyer sends fake proof of payment after you've shipped an item.
- Romance and social media scams – Someone builds a relationship with you online, gains your trust, then asks you to send crypto for an emergency or investment.
- Ponzi and pyramid schemes – A crypto project promises high returns, but your earnings depend entirely on recruiting new investors.
Investment Scams
How it works
- Scammers contact you through social media, email, or phone and offer a "guaranteed" way to make money with crypto.
- They may show you a fake investment website or app, where your balance seems to grow over time.
- When you try to withdraw your profits, they make excuses or ask you to deposit more money before you can withdraw.
Signs of an investment scam
- Promises of guaranteed profits – No real investment is 100% risk-free.
- Pressure to act quickly – Scammers rush you into investing without thinking.
- Fake websites or apps – They look real but have no real company behind them.
How to protect yourself
- Never trust "too good to be true" investment offers.
- Always research the company and check reviews from real users.
- If a website asks you to deposit more money to withdraw, it's a scam!
Job Scams
How it works
- Scammers offer you an online job where you "earn money by completing simple tasks."
- You work for a while and see your earnings increase in a fake account.
- When you try to withdraw your salary, they ask you to pay a "processing fee" or "tax"—but after paying, you never get your money.
Signs of a job scam
- You are asked to pay money to get paid.
- The job requires little to no skills but promises high earnings.
- All communication happens through social media or messaging apps, not official company emails.
How to protect yourself
- Never pay to receive a salary. A real job pays you, not the other way around!
- Check if the company is real by visiting their official website and social media.
- Be suspicious of jobs that don't require an interview or verification.
Phishing Scams
How it works
- You receive a fake email or message that looks like it's from a real crypto company.
- The message asks you to click a link and log in to your wallet—but the website is fake!
- When you enter your details, scammers steal your login credentials and take your funds.
Signs of a phishing scam
- Emails or messages that create urgency, like "Your account will be blocked!"
- Strange or misspelled website links (e.g., "mercuryo-exchange.com" instead of "mercuryo.io").
- Asking for your password, seed phrase, or private key (Real companies NEVER do this).
How to protect yourself
- Always check the sender's email address.
- Never click suspicious links—go directly to the company's official website.
- Use two-factor authentication (2FA) for extra security.
eBay & Marketplace Scams
How it works
- A fake seller offers an expensive product (like a car, phone, or gaming console) at a very low price and asks you to pay in crypto. After payment, they disappear.
- A fake buyer asks to pay you in crypto but then sends a fake transaction receipt or reverses the payment.
Signs of an eBay/marketplace scam
- Too-good-to-be-true prices.
- Sellers insist on crypto payment only.
- Buyers send fake proof of payment and ask you to ship the item.
How to protect yourself
- Only use trusted payment methods with buyer protection.
- Verify the seller's reputation and read reviews.
- If selling, wait for the transaction to be confirmed on the blockchain before sending goods.
Social Media & Romance Scams
How it works
- Scammers pretend to be your friend, online partner, or mentor on platforms like Instagram, Twitter, or dating apps.
- Over time, they gain your trust and then ask you to send crypto for an emergency or investment.
- After you send money, they disappear or keep asking for more.
Signs of a social media scam
- The person refuses video calls or in-person meetings.
- They quickly bring up money, crypto, or investments.
- They ask for crypto payments instead of traditional methods.
How to protect yourself
- Never send crypto to someone you've never met in real life.
- Be cautious of online relationships that move too fast.
- If someone asks for money, verify their identity with a video call.
Ponzi & Pyramid Schemes
How it works
- Scammers invite you to join a "crypto project" and promise high returns.
- You earn money only if you recruit others to invest.
- The scheme collapses when new investors stop joining, and people lose their money.
Signs of a Ponzi scheme
- You must recruit people to earn profits.
- The company offers unrealistic returns (e.g., "Earn 10% per day!").
- No clear business model—just promises of wealth.
How to protect yourself
- If the only way to make money is by recruiting others, it's a scam.
- Check if the company is registered and regulated.
- Avoid any crypto project that promises fixed returns.
Final Tips to Stay Safe in Crypto
- Do your research before sending money or investing in any project.
- Never share your private keys, passwords, or seed phrases.
- Enable 2FA on all crypto accounts.
- Verify websites and emails to avoid phishing scams.
- Be skeptical of anyone promising easy money.
If you ever feel unsure about a crypto transaction, take a step back and double-check. Better safe than sorry!
