In the Russian-speaking environment, under the name "scam" today, the concept of an online investment project is firmly entrenched, which stopped payments to investors or did not carry them out at all for some reason. Very often, such startups are initially created for fraudulent purposes and only bring profit to their organizers. In the field of cryptocurrencies, they are not uncommon, because this market is relatively new and is in the stage of active development, which means it is subject to high risk.
Conventionally, scam projects are divided into two types:
- HYIPs - created without a real investment program for the purpose of fraud;
- missed projects - for a certain time they faithfully fulfill their obligations, but then they stop paying.
As the reasons for the appearance of scam, unscrupulous projects can announce hacker attacks, the loss of a significant part of the profit due to an employee's mistake, problems with banks or partners, etc. Some cryptocurrencies are initially created on the principle of a pyramid. When the flow of clients is reduced, investors are simply informed about the closure of the project, and the funds are not returned.
Thus, when choosing an investment tool, it is very important to analyze it in advance, for example, there is a scam check on all.me.
Fraudulent projects can be identified by a number of signs. So, the scam can be evidenced by regular technical problems with the site, difficulties with the withdrawal of funds, poor-quality technical support, unreasonable growth in profits, reduced attendance, etc. Be sure to carefully study the information about the project itself, as well as read reviews. Ratings of cryptocurrency startups can also be a powerful source of useful information, but they should be compiled by truly reputable resources.
