⚠️ Warning: Cryptocurrency trading scams are on the rise, especially on peer-to-peer (P2P) trading platforms. With the explosion of the cryptocurrency market, P2P platforms have become popular places for users to buy and sell quickly, without the need for intermediaries. However, this direct nature also creates loopholes for scammers to exploit. Let's take a closer look at common scams and how to avoid them.
🚩 Common P2P Fraud Tricks
1. Fake Payment Confirmation
This is one of the most common scams. The scammer will send you a screenshot or fake transfer notification, making you believe that they have completed the payment. In reality, the money has never been transferred to your account.
Signs:
Urge you to release crypto immediately after sending screenshot.
The photo lacks detail or the information does not completely match the actual transaction.
How to avoid:
Always check your bank account or wallet directly. Never rely on screenshots or notifications from your trading partner.
If using a crypto wallet, confirm the transaction through the platform's official transaction history.
2. Overpayment Strategy
A scammer might intentionally send you more money than agreed upon, then claim a mistake and ask you to refund the difference. When you refund, they can use the bank’s chargeback mechanism to get the entire amount back. As a result, you lose both the refund and your cryptocurrency.
Signs:
The other party voluntarily sends more money than is due without any apparent reason.
Immediately request your refund urgently.
How to avoid:
No refunds will be issued until the transaction is fully confirmed.
If you find an excess amount, keep it as is and report it to the trading platform for support.
3. Non-Escrow Transactions
One of the most dangerous scams is when a scammer convinces you to complete a transaction outside of the platform’s escrow system. Escrow is an intermediary service that helps keep both buyers and sellers safe. If you trade outside of escrow, you have no protection from the platform in the event of a dispute.
Signs:
Scammers give the excuse of “saving fees” or “faster transactions” to convince you to skip escrow.
Direct transfer or face-to-face meeting required to complete transaction.
How to avoid:
Never trade outside of margin. This is your main line of defense against risk.
If the other party refuses to use escrow, stop the transaction immediately.
✅ Effective Preventive Measures
1. Use Reputable Platforms
Always prioritize trading on platforms that are recognized, reputable, and offer secure escrow services. Some popular platforms include:
Binance P2P
LocalBitcoins
Paxful
These platforms not only offer escrow but also have additional security measures like user identity verification, 24/7 support, and fraud reporting tools.
2. Check Payment Carefully
Never release crypto until you have fully verified and confirmed that the funds have been transferred to your account.
For bank transactions, contact the bank directly to check the transaction status if in doubt.
3. Keep Calm, Don't Rush
Scammers often pressure, frighten, or pressure you into making a quick decision. Don't let impatience get the best of you. Take the time to check every detail of the transaction.
4. Report Immediately If You Discover Signs of Fraud
Most reputable trading platforms have a support team to deal with fraud-related issues. If you encounter any unusual signs, please:
Report directly on the platform.
Store all information related to transactions, including: messages, receipts and account information.
🔑 Final Reminder:
Protecting your crypto assets requires vigilance and knowledge. Don't let complacency or lack of information create opportunities for bad guys.
⚡ Share this article with your community to raise awareness and protect safety in cryptocurrency transactions!