Introduction
Cryptocurrency job Scams involving cryptocurrency jobs are impossible to fix because digital currencies’ biggest flaw is that they cannot be reversed. For example, if a user sends a crypto coin to other users, the first party makes a mistake during the transaction, the entry will never be reversed, or the user can’t stop the transaction. As a result, the cryptocurrency industry requires users who are skilled, knowledgeable, and experts.
Job scams
Cryptocurrency job scammers will make fake job offers and request that users fill out forms to collect personal information during the recruiting process or post resumes online. So that they will possibly use this data to steal users’ digital assets, and job seekers often fall prey to these scammers. Mostly, the scammer demands payment or commission to start online trading, and they offer trading signals and ask for a commission in return. The “job offers” often include clear offer letters and may ask for confidential personal information.
Every authentic online crypto platform has a Page or URL called “careers” To know the real and relevant job details, users can visit the URL, and no other URL should be trusted. Users must consider the genuine recruitment communications they receive via email, which they applied for. If someone is advertising or recruiting fake jobs using the name of famous online crypto platforms such as Binance, Coinbase, Kucoin, and OKX, etc., be sure to report the scam to the concerned security department or the 24/7 helpline of the respective crypto website.
Top 05 Cryptocurrency Job Scams in 2023
Crypto scams always follow people who are lured by money, and this is also true in the case of cryptocurrency. Initially, people don’t know much about new technology, and scammers typically use new business terms like cryptocurrency, NFTs, and AI projects; because of this, grabbing innocent people is very simple. A cryptocurrency exchange called “Wormhole” lost cryptocurrency worth $320 million in February 2022 due to a cyberattack. According to a Federal Trade Commission report, crypto exchanges and users have lost $1 billion since 2021 due to cyberattacks.
1. Investment schemes using bitcoin
Scammers show their profiles as the most significant Bitcoin investor to their victims and promise they will earn money as they are, so the new crypto entrants are impressed by their investment profiles, and they are tormented. Initially, scammers ask users for personal information, and they deceive users into believing that they are asking for their personal information so that they can deposit funds into their accounts. Fraudsters use celebrities to promote fake accounts, and it is another type of investment scam. Fraudsters use the real images of celebrities to post them on fake accounts, articles, and advertisements to build trust that it looks like the celebrity promotes Bitcoin or any other cryptocurrency.
2. Rug-pulling Scams
The rug pull scams are described as scammers established in a new crypto project, which may be coins, tokens, or NFTs; they temporarily pump up by providing liquidity and getting investments from others and then suddenly disappear from the crypto market. For example, a coin, “Squid Game,” dropped from $2900 to .0007 within 24 hours in 2021. Many people lost their money in this project. Many Dexs on the market offer these kinds of projects, all of which are scams that lure victims before disappearing. New crypto projects are always risky because naive people are easily attracted to these projects in the desire to earn quickly, and they waste their investments also.
3. Dating Apps Scams
On social media, many dating apps are available where illegal and legitimate activity occurs. People in the apps will do anything to make money, especially when girls are involved. They will even demand cryptocurrency in return for their bare bodies. Money and love or sex are the two things that the majority of people in the world want most. Because targeting people on dating apps is simple, scammers are very active there.
4. Scams that use social media to distribute cryptocurrency
People have many fake IDs and posts on social media platforms such as Facebook, Twitter, and Instagram to tempt users to take free airdrops of cryptocurrencies, including bitcoin. They use fake IDs of celebrities to attract crypto users and promote their posts by using the images, articles, and videos of these celebrities.
However, when someone clicks on the post, they are redirected to a fake website that invites users for verification to get free bitcoins or altcoins. Users participate in this verification process to get free BTC and enter personal, bank, and crypto wallet details on this fake website. So, the victim may lose all their money or digital assets by activating a profile on the fake website tempted to get free Bitcoin or Altcoins.
5. Job offers and dishonest employees
Cryptocurrency job scammers try to access recruiters’ advertisements before they officially publish, and they also simulate the job advertisement to the job seekers before them. With this technique, they create an interesting job advertisement; published it for the crypto job seekers who came under their scam; they demand cryptocurrency from the job seekers as payment for fulfilled to their good future dreams. Sometimes an employee within the organization burglarizes people in the name of the organization in which they are employed. Normally, such people who work inside the company are more trusted by the people; that’s why they take advantage of their job and scam innocent people and the company too.
How to Avoid Cryptocurrency Job Scams
1. Research on your own.
There are thousands of coins, tokens, and NFTs in the market and exchanges (CEXs, DEXs), so it is difficult to identify authentic job advertisements or opportunities for earning some crypto or getting a job. The best formula is not to fall prey to scams and do your research. Consider these few things when you do your research.
- Visit always official link of the platform
- Pay attention to the mail received from the official E-mail ID
- Follow the official account on Twitter, Instagram, Telegram, and Whatsapp
- Get information from the company’s 24/7 helpline.
- If you observe a scam, inform the company security section immediately.
2. Watch out for implausible job offers.
The 2023 recession is going on worldwide, which is why there are so many issues concerning employment. So, think twice about job offers that advertise benefits such as attractive salaries, house facilities, medical facilities, crypto rewards, free transportation, and commissions because there may be doubts about their authenticity. Scammers make job offers through attractive advertisements indicating easy work, quick money, and an unrealistic approach toward the crypto industry that could be a scam.
3. Pay close attention to any jobs requiring deposits
Any job offer in which the employer asks the job seekers to pay the expenses related to the job from their pocket that type of offers you should never be considered because the offers are fake. The big reputation organizations will not charge you a fee for job offers for any reason because there is an unsaid rule worldwide that there is no deposit to apply for a job. If any “crypto organization” asks you for a deposit fee in exchange for giving you a job, then they are scammers; you should not be a part of them at all.
4. Observe the information being requested of you.
When conducting online interviews, you are asked about your personal information, such as credit card information, crypto wallet, and passport, so you must be more cautious because of what you are asked to provide. Your sensitive information may be used against you, resulting in the need to clean out your wallet.
5. Positions without requirements should be avoided.
When a large organization offers particularly high-paying jobs, there are proper advertisements, recruitment processes, interviews, or written tests. However, if the recruiter puts you under pressure to accept the job immediately without any requirements, for example, they may ask you to start the process through the onboarding authorities without your cv, experience, or salary demand. If they continue to pressurize you, the job offer is most likely a forgery.
Final Thoughts:
Cryptocurrency job scams are becoming increasingly common due to the unique flaws of digital currencies. Scammers are making fake job offers and requesting users to fill out forms to collect personal information or post resumes online. These scammers demand payment or commission to start online trading and offer trading signals in return. Users should consider the genuine recruitment communications they receive via email and report any scams to the concerned security department or the 24/7 helpline of the respective crypto website. Crypto scams are growing due to poverty in the world.
Cryptocurrency job scams happen through investment schemes using Bitcoin, Rug-pulling Scams, and Dating Apps Scams. Scams on social media, job offers, and dishonest employees are two of the most common ways people fall victim to scams. To avoid cryptocurrency job scams, it is important to research on your own and pay attention to the mail received from the official email ID, follow the official account on Twitter, Instagram, Telegram, and Whatsapp, and get information from the company’s 24/7 helpline.
FAQs:
1. Are there scams with cryptocurrency?
Scams occur frequently; for example, crypto exchanges lose money due to cyber attacks, and scammers typically target crypto wallets and steal money from them. The Federal Trade Commission reported that from January 2021 to June 2022, different scams got cryptocurrency of users about $1 billion. That is not the correct figure because most people do not share their losses with authorities due to social stigma.
2. Can a crypto scammer be traced?
It is possible to trace but not to track the stolen digital currency because, thanks to blockchain technology, it traces the wallet address. On the other hand, most countries worldwide do not have the regulatory circumstance of cryptocurrency because hackers target people from third-world countries. But it is possible for giant organizations with resources and extra money to trace digital assets, but not for the common man.
3. What are 2 forms of cryptocurrency scams?
Crypto scammers use pump-up techniques to launch a new crypto project and show the high trading volume and price; they attract cryptocurrency users, collect money from them, and then disappear. The second method is to post fake celebrity cryptocurrency campaigns. When people see their favorite stars running a campaign, they also agree to invest in cryptocurrency.
4. Do banks refund scammed money?
It depends on the regulatory status of cryptocurrency in respective countries, and if the countries and their national banks are involved in transactions, they can refund the scammed money. On the other hand, if the digital currency is not regularized in a specific state, they cannot help the crypto users of respective countries’ residents.