Exploring Crypto's Most Common Scams

The signs of a scam are relatively easy to notice once you train yourself on what to look for.

Three of the most common are "Pump and dump" schemes, fake tokens or ICOs, and Telegram impersonators.

Pump and Dump.One of the most notorious scams in the cryptocurrency realm, the pump and dump scam.

The best way to avoid getting scammed? Don't get involved in a pump group.

Often the scammers will try to make their offering look legitimate, and usually draft a white paper for their token or coin to entice investors.

Scammers commonly launch a fake smart contract and convince exchanges to list their product, and generate volume on the exchange to get the coin some kind of price listing.

Larger exchanges like Binance will list all the information on crypto assets traded on their platform.

While there are many legitimate telegram channels, scammers can and do imitate the appearance of a legitimate entity to convince you to give them your money.

In particular, scammers will impersonate the admin of a prestigious group by copying their avatar and user title, giving them the appearance of that account on cursory inspection.

There are a few ways to avoid being hit by this type of scam.