Instagram Bitcoin Scams – Famous Types and Preventive Measures You Can Adopt 

Instagram has gained immense popularity as a valuable platform for sharing information related to cryptocurrency. And that also led to Instagram Bitcoin Scams. 

Nevertheless, staying alert and avoiding being deceived by fraudulent cryptocurrency investment schemes on the platform is crucial. These scams related to cryptocurrencies can be highly complex and challenging to identify. 

A fraudster might cheat others by making them believe they are an authentic investor or well-known personalities and build extensive and authentic-looking followers. 

With this article, you can learn about the common crypto scams on Instagram and how you can ensure the security of your cryptocurrency.

How does crypto scams on Instagram work? Things you need to know

Instagram cryptocurrency scams are tricks and frauds specifically aimed at people seeking to invest their money in cryptocurrency like Bitcoin. 

• There are multiple schemes, such as false investment proposals, phishing schemes, and imitating celebrities. Scammers use diverse strategies to persuade people to transfer funds, reveal personal data, or download malicious software.

• These scammers often make fake profiles affiliated with original cryptocurrency businesses or famous phrase social media figures. After establishing a connection with the victim, the fraudsters usually request investments or personal details. 
• Moreover, to persuade people to send funds or personal information, they may offer attractive investment returns or complimentary items as encouragement. The fraudsters disappear completely after obtaining the user’s personal details or financial resources.

Reports show that almost 50% of individuals who claimed to have been scammed of their cryptocurrency from 2021 onwards mentioned that the deception was initiated through an advertisement, post, or communication on a social media platform.

Statistics 

Over this timeframe, cryptocurrency has accounted for the highest percentage of lost funds due to social media fraud, with almost 40% of reported losses being attributed to it. 

Among the leading platforms associated with crypto scams are Instagram (32%), Facebook (26%), WhatsApp (9%), and Telegram (7%) as the primary contributors.

Source 

Common types of Crypto scams on Instagram you should beware of

Several crypto scams use impersonation and a set of well-crafted tales that are tailored to suit the particular target. Some of the most common types of crypto scams are described as follows

Blackmail and extortion scams

Many scammers claim to have private or embarrassing information about you, such as your photographs or videos. Usually, they will use the threat of exposing the information as leverage, while promising to maintain confidentiality of your data if their demands are met. This is followed by them asking you to send a cryptocurrency transfer to immediately solve the issue.

Business opportunity scams

There are various ways in which this scam may unfold, but the general pattern usually involves receiving a proposal for a great business opportunity from someone who claims to assist you in becoming rich. 

Usually, scammers convince you to give them your Bitcoin by promising high returns, like doubling your digital assets within a single night. In any case, it’s essential to understand that assured profits are not possible, especially with digital assets.

Fake job listing scams

Source

Scammers use fake employment posts or unrequested job proposals to attract victims. They propose attractive job opportunities in the crypto industry, mainly in areas such as Bitcoin mining and seeking out new crypto investors. 

In any case, the common requirement for all these jobs is initiating payment in cryptocurrency as the starting point. The scam can then take various forms, such as requesting you to invest or claiming that they are sending you cryptocurrency in return for cash, yet the currency never reaches you.

Giveaway scams

Such schemes guarantee a reward for following their demands, such as cash or a gift. Most fraudsters impersonate famous personalities or social media influencers to trap victims. And it is almost impossible to distinguish authentic activities from counterfeit information. 

Bitcoin frauds usually impersonate famous personalities like Elon Musk through social media platforms to deceive his fans and followers into sending digital assets.

Impersonation scams

This scam includes fake giveaways and falls under the impersonation deception category. One clever tactic used by cybercriminals is to pose as representatives of official agencies such as the government or law enforcement to persuade you that your accounts or assets have been seized as a part of an investigation. 

They then propose you settle the matter by paying them with cryptocurrency. They may also falsely identify themselves as representatives of prominent entities such as Amazon, Microsoft, FedEx, or your bank to persuade you of similar settlements.

Investment scams

Such schemes involve someone claiming to be an investment manager who offers an unbelievable investment prospect. The process is to start as soon as you transfer cryptocurrency to their digital platform or use an app to increase your finances that asks for a similar prompt action is required. 

Quite often, these scammers have websites that appear genuine. In case you access your platform account, you could face restrictions when attempting to withdraw your funds, such as being charged a high fee or having restricted access to your cash.

Phishing scams

A phishing scam happens when someone pretends to be another person or entity, usually a celebrity or an organization, to coax you into sharing confidential details with them. Numerous phishing schemes regarding cryptocurrency intend to acquire your crypto wallet keys via official-looking emails that prompt you to log in to your account.

Romance scams

Scams involving romantic relationships still exist in the digital world and are thus even related to digital currency. This involves a person getting close to you online, trying to have your affection, and make you have romantic feelings for them. Once you trust them completely, they try to get your data like crypto keys or request you to send them some currency. Or even tempt you into joining them in the crypto investing world, all under the guise of a shared future. Once you do what they ask, they disappear from the scene.

How to avoid Crypto scams on Instagram? Tips to stay safe and secure 

Here are some guidelines that you can follow to avoid falling for crypto scams on Instagram.

Research the company and its background

Make sure you conduct thorough research on the crypto and the background of the company before investing. Ensure their authenticity by examining their website, online reviews, and presence on social media platforms.

Verify the identity of the person

Make sure you look for the authentication of the individual or organization you are interacting with. Verify their registration with regulatory parties and review their track record for any signs of deceitful behavior.

Secure yourself with PurePrivacy

PurePrivacy is a tool that guarantees your security by making your custom dashboard for security alerts and tracking down your social media activities.

Never share personal data

Do not disclose any confidential details such as credentials, passwords, crypto keys, tax identification numbers, or debit/card data. Authentic companies never ask you for such data.

Don’t believe in unrealistic promises

Be wary of excessive assurances of high profits or free crypto giveaways. If something seems unrealistic, it is likely not authentic or possible.

Install a VPN 

In this era, securing your device with a VPN is imperative. PureVPN allows you to hide your online activity by changing your IP address.

Final Words

Using Instagram as a source of information and learning about cryptocurrency can be beneficial. However, you should be careful of any scam cryptocurrency investment schemes on Instagram to ensure your safety. By following the information and suggestions in this article. You can protect your finances and ensure the security of your cryptocurrency. 

Frequently Asked Questions