The rise of cryptocurrency has changed the way people invest, trade, and move money globally. But along with the innovation, a darker side has emerged — crypto scammers. Every day, thousands of people fall victim to fake platforms, phishing schemes, or too-good-to-be-true offers that drain their wallets. If you’ve ever wondered “how do crypto scammers work?” or complained about being scammed, then this guide is for you.
I’ll break down everything you need to know; from understanding cryptocurrency itself to recognizing scams, knowing which cryptos get targeted most, and learning how to protect yourself.
What is Cryptocurrency?
Cryptocurrency is a form of digital money built on blockchain technology. Unlike traditional currencies such as the naira, dollar, or euro, crypto isn’t controlled by banks or governments. Instead, it is decentralized, meaning transactions happen directly between people through secure computer networks.
The most popular cryptocurrencies include Bitcoin (BTC), Ethereum (ETH), and Tether (USDT), but there are thousands of other tokens on the market. People use them for trading, remittances, online payments, and long-term investment.
Is Cryptocurrency Legit?
Yes, cryptocurrency itself is legitimate. Bitcoin and other major coins run on highly secure blockchain technology, which is extremely difficult to hack or manipulate. However, because crypto is decentralized and largely unregulated in many countries, it has become a breeding ground for scammers.
When people say “I got scammed in crypto,” they usually weren’t scammed by the technology itself but by fraudulent platforms, fake wallets, or individuals pretending to be trustworthy. In other words, crypto is legit but you must be careful where and how you use it.
Which Crypto is Best to Invest In?
When considering crypto investments, the safest options are usually the established coins with long-term value and strong communities. Bitcoin remains the most trusted store of value, while Ethereum powers a massive ecosystem of decentralized applications. Stable coins like USDT are also useful for people who want less volatility.
That said, every investment carries risk. New or lesser-known coins can be profitable but also dangerous because they are often the focus of pump-and-dump scams. The best strategy is to do your research, invest only what you can afford to lose, and use trusted platforms for trading.
Can Crypto Get Hacked? Is Cryptocurrency Secure?
Let’s get one thing straight: cryptocurrency itself is secure. Coins like Bitcoin, Ethereum, and USDT are built on blockchain technology, which is extremely difficult to hack.
What usually gets hacked isn’t the coin, but the platform or the user. For example:
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Weak exchange security → Hackers exploit loopholes in poorly secured platforms.
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Human error → People click on fake links, share private keys, or fall for phishing.
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Poor storage → Keeping crypto on unsecured wallets instead of cold storage increases risks.
So, when someone asks, “can crypto get hacked?” tell them the blockchain is safe, but scammers target people, not the technology.
How Do Crypto Scammers Work?
Crypto scammers rely on deception, manipulation, and greed. They often create fake websites, set up false social media accounts, or promise unrealistic returns to lure people in. Once victims hand over their login details, private keys, or cryptocurrency, the scammers disappear, leaving no way to recover the funds.
Some scams are quick, like phishing links that steal your wallet details. Others, like Ponzi schemes, run for months or even years, giving the illusion of legitimacy before collapsing. The one thing they all have in common is that they prey on people’s lack of knowledge, urgency, or desire for easy profits.
Top Cryptocurrencies Targeted by Scammers
Scammers usually focus on popular, liquid cryptos because they’re easy to trade and cash out:
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Bitcoin (BTC) – The most widely known and often used in fake investment schemes.
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Ethereum (ETH) – Targeted in phishing scams and fake token giveaways.
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Tether (USDT) – Popular with fraudsters for its stable value and quick transfers.
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Ripple (XRP) – Sometimes used in “airdrop” or giveaway scams.
If a scammer can convince you to send any of these, chances are you’ll never see them again.
Types of Crypto Scams You Should Know
When it comes to cryptocurrency, scams take on many different forms. Below are some of the most common tricks used by crypto scammers, explained in detail so you can understand how they work and how to protect yourself.
1. Phishing and Fake Websites
Phishing is one of the oldest scams in the crypto space. Here, fraudsters send emails, text messages, or direct messages on platforms like Telegram, WhatsApp, or Twitter, pretending to be from a trusted exchange or wallet provider. These messages often include a link to a fake website that looks almost identical to the real one. Once you enter your login credentials, private key, or seed phrase, the scammers immediately gain access to your wallet and empty it.
How to avoid it: Always check URLs carefully, enable two-factor authentication (2FA), and never share your private keys with anyone.
2. Investment and Ponzi Schemes
Ponzi schemes thrive on greed and false promises. Scammers set up platforms that claim to double or triple your investment, often advertising phrases like “send 1 BTC, get 2 BTC back.” In the beginning, they may pay small returns to gain your trust and lure more people in. But the system depends entirely on new money coming in to pay earlier investors. Eventually, the scammer shuts down the platform, takes all the funds, and disappears.
How to avoid it: If the returns sound too good to be true, they almost certainly are. Always research investment platforms and avoid anything with unrealistic promises.
3. Social Media Impersonation
Fraudsters often create fake accounts on Twitter, Facebook, Instagram, or Telegram, pretending to be famous figures like Elon Musk or even official exchange representatives. These accounts promote giveaways or “special offers,” asking you to send crypto with the promise of receiving more in return. The reality is simple: once you send the funds, you never get them back.
How to avoid it: Only trust verified accounts and official websites. Never send crypto to a wallet address promoted on social media.
4. Romance and Social Scams
Romance scams are among the most manipulative. They usually begin on dating apps or social platforms, where a scammer builds a relationship with the victim over time. Once trust is established, the scammer introduces a supposed crypto investment opportunity, often directing the victim to a fake trading platform. The victim deposits money, believing they are investing, but the funds go straight to the scammer.
How to avoid it: Keep financial decisions separate from online relationships, and be cautious if someone you’ve never met in person pushes you toward investing.
5. Crypto Spamming and Pump-and-Dump Schemes
Pump-and-dump schemes are coordinated scams that involve hyping up a new or little-known cryptocurrency. Scammers flood online communities, groups, and forums with spam messages urging people to buy the token quickly. As more people buy in, the price rises, creating the illusion of demand. Once the price peaks, the scammers sell off their holdings, causing the token’s value to collapse, leaving everyone else with worthless coins.
How to avoid it: Be skeptical of new coins promoted aggressively in online groups, and do thorough research before buying any crypto project.
These scams may look different on the surface, but they all have one thing in common: they prey on trust, urgency, or greed to steal your funds. By understanding how they work, you can stay one step ahead of crypto scammers.
How Can You Tell Someone is a Scammer?
Spotting a crypto scammer can be tricky because they often appear professional and convincing. However, there are red flags to look out for:
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They promise guaranteed profits or unusually high returns.
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They pressure you to act quickly, saying opportunities are limited.
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They ask for your private keys or wallet seed phrase (a major warning sign).
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Their website or platform has no real reviews, poor grammar, or looks suspicious.
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Communication happens mostly on social media or messaging apps, with no verified contact details.
If you notice any of these warning signs, it’s best to walk away immediately.
“I Got Scammed in Crypto” – Here’s What To Do
Unfortunately, recovering stolen crypto is very difficult because transactions are irreversible. But here’s what you should do immediately:
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Report the incident to your local cybercrime authority. For Nigerians, the Economic and Financial Crimes Commission is the primary cybercrime authority.
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Contact the exchange if you used one (sometimes they can freeze accounts).
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Warn others by checking crypto scammers list databases and reporting suspicious wallets.
While you may not always recover funds, spreading awareness can help prevent others from falling victim.
How to Stay Safe from Crypto Scammers
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Use trusted platforms only. Stick to exchanges and apps with strong reputations and security measures like Presto.
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Store crypto securely. Cold wallets (offline hardware wallets) are the safest option.
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Enable 2FA. Always protect your accounts with two-factor authentication.
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Educate yourself. Understanding how crypto scammers work is your best defense.
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Never share private keys. This is like giving someone your ATM PIN and card.
Final Thoughts
So, is cryptocurrency secure? Absolutely. The blockchain is one of the safest technologies out there. But the real threat comes from crypto scammers who prey on inexperience, greed, and trust. By learning the different types of scams, understanding how they work, and using safe practices, you can trade, invest and sell crypto with confidence. Stay alert, stay informed, and don’t let scammers steal your future!
And just incase you need an app that offers quick 120-secs transactions that are slightly secured and also protected by Nigeria’s anti-money laundering laws, use Presto app — the best crypto trading platform in Nigeria, no doubt.
