HOW TO AVOID SCAMS IN CRYPTO

To avoid scams in the crypto space, follow these essential precautions:

1. Research Before Investing

• Verify project legitimacy by checking official websites, whitepapers, and team information.

• Avoid projects with anonymous teams or vague goals.

2. Be Cautious of Unrealistic Promises

• If a project promises guaranteed high returns with minimal risk, it’s likely a scam.

• No investment is risk-free, especially in crypto.

3. Verify Smart Contracts and Projects

• Use blockchain explorers (like Etherscan) to verify contract addresses.

• Check for audits from reputable firms like CertiK or SlowMist.

4. Avoid Phishing Attacks

• Double-check website URLs and avoid clicking on suspicious links.

• Use official links from verified social media accounts or trusted sources.

5. Use Secure Wallets and Exchanges

• Choose well-known, reputable wallets and exchanges.

• Enable two-factor authentication (2FA) for extra security.

6. Never Share Private Keys or Seed Phrases

• No legitimate service will ever ask for your private keys.

• Store seed phrases offline in a secure location.

7. Watch for Fake Airdrops and Giveaways

• Scammers often impersonate influencers and projects offering “free crypto.”

• Verify giveaways through official project channels only.

8. Avoid Pump-and-Dump Schemes

• Be wary of projects with sudden price spikes driven by hype.

• Scammers often manipulate prices before dumping their holdings.

9. Check Community Reputation

• Join crypto forums (like Reddit or Discord) and seek opinions on new projects.

• Genuine projects often have active and transparent communities.

10. Use Cold Storage for Large Holdings

• Store significant amounts of crypto in hardware wallets for better protection.

Key Tools for Scam Prevention:

• Etherscan/BSCScan: Verify contracts and token holders.

• Token Sniffer: Check for scam tokens.

• CertiK & PeckShield: Audit reports.

Golden Rule: If it sounds too good to be true, it probably is. Stay informed and vigilant.