5 Recent bitcoin scam cases

Bitcoin fraud uses the benefits of cryptocurrencies against its victims. Cyber security experts say bitcoin-related frauds follow other illegal online exploits until you try to reclaim your funds. The certain nature of cryptocurrency makes tracking difficult and even harder to capture. With a few extremely high-level exceptions, once transferred, it is gone forever. The value of cryptocurrencies has increased while the quantity of Bitcoin transactions has remained constant in recent years. While cryptocurrency can be a safer alternative to trading in currencies if the right circumstances are present, for example, implementing an efficient blockchain analytics practice to stay safe from errant typologies on the blockchain. It is important to be aware of how fraud has traditionally occurred and also to know about crypto scam recovery. Below listed are five recent bitcoin scam cases:

Bitcoin Gold

Every day, several new crypto assets are produced. Scammers will surely take advantage of this as a result. Exactly this occurred with Bitcoin Gold. It was a brand-new cryptocurrency that earned the nickname Bitcoin Gold, a recognized company. This crypto-asset appeared to be genuine. However, it was a scam. The website, which provided new users with the opportunity to create Bitcoin gold wallets, was created by the scammers behind the scheme to look authentic. The main problem was using it, and users had to provide private wallet keys to secure their cryptocurrency wallets. This might seem strange and too good to be true, but it was convincing enough to scam over a few people.

My Big Coin

When the cryptocurrency asset is wholly fake, that is another important sort of Bitcoin fraud. This is what took place in the My Big Coin case. The case information stated that the case was focused on commodity fraud and misappropriation connected to continuing client solicitation for My Big Coin, a virtual currency. My Big Coin was charged with stealing more than a million from clients, among other things, shifting client funds into individual bank accounts and spending those funds for personal expenditures and the purchase of luxury goods. By approaching a professional team, it is easy to get a fund recovery.

Bitcoin Savings and Trust

One of the most famous fraud cases using a fraudulent initial coin offering was started as a Ponzi scheme called Bitcoin Savings and Trust (BS&T), where money made for early investors is simply withdrawn from later participants (ICO). An ICO is where a company begins to sell crypto assets, and scams surrounding them are typically quite straightforward. It is a success factor of a fake business acting as the real deal to steal investor’s money. Investors in BS&T were promised returns of up to 7% weekly, but in reality, more than 265,000 bitcoins were taken through blockchain fraud.


BitKRX was a scam South Korean bitcoin exchange. Trying to pose as a reputable company closely associated with another legitimate company is one of the most popular and effective techniques to deceive people. With BitKRX, this was the situation. It adopted the KRX name from the actual Korean exchange. BitKRX made false claims that it was a division of KRX and a product of KOSDAQ, KRX’s trading platform. Because of this limitation, they could frame it as a legitimate and compliant crypto-asset exchange. After finding that the Bitcoin they had bought inexplicably disappeared, people started to complain that their money was being stolen through the exchange. Even after the scam was revealed, it is unclear exactly how much cryptocurrency was taken.

Cryptocurrency Clipboard Hijackers

Malware is a complicated code that drives many online scams and can overcome the defenses of even the most digital users. For users of crypto assets, malware is a serious threat.Cryptocurrency Clipboard Hijackers is a famous example of malware in transactions involving crypto assets. This program keeps an eye out for bitcoin addresses in the Windows clipboard. When it finds one, it switches the transaction’s intended address for the money to one under the hijackers control to send it elsewhere. If you don’t pay close attention to the address you have used, you cannot detect a change as you are about to make a transaction.

Cases of bitcoin fraud can take many different forms. Examples include Ponzi schemes, fake crypto assets, malware, pump-and-dump scams, and fake ICOs. Versions of this virus have been found in some situations to be able to keep track of more than two million crypto-asset addresses.Due to the efforts of regulatory authorities and blockchain analytics professionals, there are fewer cases of non-compliance or fraud while utilizing cryptocurrencies. However, there are still best practices to learn and red flags to look out for. 

Bottom Line

People will be better able to secure their assets if they take a few preventative actions. This entails conducting careful research on a company before investing in it and exercising common sense and a good rule of thumb is that if it seems too good to be true. You can reach out to Reclaimmylosses if you want to overcome Bitcoin scam cases.

You Might Also Like