**ALARMING NEWS ALERT**
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**Major Cryptocurrency Scams to Watch Out For**
The cryptocurrency market, despite its immense potential for high returns, has been riddled with numerous scams. Fraudsters continually develop new tactics to deceive unsuspecting investors. Here are some of the most significant scams in the crypto world:
FTX: This exchange collapsed in November 2022 after mismanaging billions in customer funds. Founder Sam Bankman-Fried was sentenced to 25 years for fraud. Luna and TerraUSD: These cryptocurrencies experienced a devastating $60 billion loss in May 2022, leading to the arrest of founder Do Kwon in March 2023. QuadrigaCX: After founder Gerald Cotten's death in 2018, $215 million became inaccessible, later revealed as a Ponzi scheme. Africrypt: In 2021, investors were defrauded of 70,000 BTC. Founders Ameer and Raees Cajee are now under investigation for money laundering. SafeMoon.
Other notable scams include Proodeum, an exit scam in 2018 that left investors with nothing after the team vanished, and Pincoin and iFan, where Modern Tech raised $660 million in 2018 through ICOs before disappearing, marking another Ponzi scheme. Celsius Network paused withdrawals in 2022 and filed for bankruptcy, owing $4.7 billion, but is now working to return assets to customers. Centra Tech raised $25 million in 2017 on false promises, leading to the founders' imprisonment, and Mining Max defrauded investors of $250 million in 2017, with only a fraction used for actual mining, affecting 18,000 investors.
To protect yourself from such scams, always conduct thorough research and verify the credentials of the team behind any project. Be wary of promises that seem too good to be true. Exercising caution can help mitigate the risk of falling victim to these fraudulent schemes in the cryptocurrency market.
