Topic: Dangers and Risks for Beginners (Read 424 times)

Sometimes it is easy other times not. It is best to avoid sending money to anyone without understanding what is happening and how scammers may trick you. Generally if you want to invest you will have to trust an exchange and pass KYC in some of them. Bitcoin is P2P though, meaning you can buy from someone directly. You may try this forum too as there are some trusted members that can be an escrow for the deal and make it without any problem.

To detect scams in general first of all you need evidence. For example in the case of new projects a plagiarized whitepaper, fake team members, etc. There are other red flags but you will need concrete evidence that they are scam. Sometimes these are hard to find but they are always there the entire time.

A good way to understand scams and how people detect them is looking at this thread: Scam Accusations

I hope those newbies in crypto will find this thread or other related threads about this subject. Because this will open their minds that bitcoin or crypto is not a scam. But those behind it are the ones who are screwing naive users. But the concept itself is not a scam. Many noncrypto users have the notion that crypto is a scam, but if they will educate themselves, they will know the truth why scammers are everywhere.

Thanks! Very good information that will be useful for everyone.
But I still don't know how to detect scams fraud etc

Mistakes happen, and 200 million is maybe a lot - except maybe in China. I remember data from one of their censuses when they themselves admitted that some 10-15 million people were not covered by it - because they live in such remote and inaccessible areas that it is very difficult to reach them. They say there are still areas in China where people live and have never seen a white man

Despite the ban, the Chinese have found new ways to continue trading Bitcoin, and this is perhaps the greatest strength that BTC has, it can resist any regime, and this is definitely evident in the example of China.

You're welcome for comment

This post will surely prevent a lot of beginners who are willing to learn from being scammed. These are almost every way in which beginners and even non beginners could get scam.

I once fall for this :

And now, whenever I want to invest in any coin or project. I always check if its premined or not. This is by checking the coin exchange tracker total supply and the explorers total supply.

I will edit post asap, thanks for pointing this. Not a small mistake, that's 200 million people less..


Thanks for this information. I haven't looked in Huobi much besides some reports I've read. Certainly, there is interest from China and a government can't stop Bitcoin but only make it difficult for its citizens to trade or own. Thank you for the constructive comment.

You have slightly reduced the population of China, which today is over 1.4 billion people, and also even though China has officially banned crypto trading, that doesn’t mean the trade doesn’t exist at all.


Also, paying income tax is only necessary when the crypto is converted to fiat, and just owning a BTC that is worth x times more today than a year ago means nothing. Paying taxes is of course desirable because it finances the entire infrastructure we need for everyday life. But in some countries the level of corruption and bad politicians is so high that it makes no sense to fund a beast that destroys everything around it.

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Generally a well written post with very good tips for beginners, I hope most will read it before they fall into a trap.

Giveaways are just one of those scamming attempt made by those crooks. Time passed by, their skills for scamming people are improve because the latest is so effective where they managed to steal some money when they managed to hacked some popular celebrities twitter accounts.

Here are some preventive measures to protect ourselves from those kinds of attack: https://bitcointalksearch.org/topic/collection-of-comprehensive-guides-on-identify-and-avoid-scam-projects-5125435

I guess one of the most commons scams that you missed to include are investment opportunities. Most of these scams are offering too juicy an ROI that a lot of gullible individuals cannot resist the urge to take the risk for a much larger return. Many of this kind of scam are offering to double your investment in a very short period of time. While too-good-to-be-true ROI should always be taken as a solid red flag, there are still countless of people who fall for it.

Another one which you also missed are fake support agents of wallets, exchange platforms, gambling sites, and so on. You can usually find these scumbags on Telegram and other social media sites. I don't know which category this falls under.

I would also include fake trading experts who are normally maintaining a certain channel or group chat for their exclusive TAs which are oftentimes sold for a premium.

And since I am into gambling, albeit moderately, there are also fake predictions, tips, fixed games, and so on which beginners should never ever entertain.

Maybe many of them failed, but there are still some altcoins that were built with a good reputation. I can't blame you with having a mindset that most of them are not worth the money because we're at a time where scams are so prevalent and beginners are most likely to fall for it because they take a risk without doing advance research about the potential risk and dangers they may face. This is the reason why research has a significant role in everyone, it presents a different view of things. That way, you will have a sufficient understanding of which coins are a good investment.

Exactly. Dangers are just out there and not only for beginners but even for some who are already in the industry for quite some time already if they missed even a bit of security measures. Once or twice, we will experience such but the most important thing is that we will learn from those experience and not let it happen again. As a saying goes, "To err is human, but to do the same mistake over and over is stupidity."

Anyway, it was indeed a good compilation. Everyone with no or little knowledge of the dangers out there need to read this for their safety and security as well.

This is an excellent compilation for a newbie. Gonna bookmark this.
Also, the original post is very knowledge dense for a newbie 

Dude, first of all, can you please remove the font color in your post because 1) it wasn't a website link 2) it was unnecessary. Try to read Bitcointalk Posting Etiquette (number 5 to be specific)

Going back to the topic, I am somehow allergic to alts but I think it's harsh to say that 99% of them are trash. There are cool alts with great value and applications as well such as ethereum, monero, dogeoin etc. Just try to look further  Maybe I would agree if you say that most of the new tokens are worthless .

I was not reading the thread for the title speaks for itself. However, I give you merit OP because of the great effort you have done in your post. Such beauty to see that many users now are doing quality posta in this forum being a responsible user. If only all shitposter could have this kind of attitude then I do think that theymos will going to need more users to help him getting rid out of the shitposters.

Regarding with the thread, I agree with you that those mention above were happening. Sad to say that  bitcoin system was been drag by these abusers and making it bitcoin seem like a scam too for those who do not have idea what is bitcoin all about.

Still bitcoin system is making its name havin some establishment accepting bitcoin as an option for payment is like an adaptation. Slowly and surely bitcoin will going to change things like to minimize the third party service in doing transaction and the choice to remain anonymous in it.

I guess what really matter now is awareness that we have bitcoin system fully functional.and working, education to minimize or eradicate of getting scam from the abusers and independence from the third party service making it fluent and efficient and lesser fee in doing transaction in the future compare to banks services.

Every beginner needs to know that 99% of altcoins will go to zero. Perhaps a few of the altcoins we have right now will survive the long run. History has proven that altcoins usually do not have anything to offer and are mostly speculative instruments in the cryptocurrency world.
Bitcoin is the King. Remember this when the next forked coin claims it will do the flippening and replace Bitcoin in dominance. Don't make the mistake to listen to sock puppets and influencers.

On the issue of website and exchanges, it always seems quite easy to win users or investors over by websites and exchanges. As most of them would be like, 'they've got a website/exchange' and suddenly feels confident over it, don't see the need to verify the website or exchange and as such, become vulnerable to whatever.
What they fail to understand is, you've got yo give or invest in something and hope for a return. That's taking risk to a large extent, knowing that it could go in one or two ways. You profit or you loss. Scammers understand these facts but most users don't. They always want to gain and as such, your hopes are pushed up on everything which signifies trouble.

Really good article about the risks and dangers that everyone should know, especially beginners.
And here is most beginners/newbies are trapped in the cycle of scammers. Mostly, they are interested in the rewards that they can get by doing such very simple things. Moreover for them who do not take time to ask others or analyze the scams. And most also only follow the others to get in that scam.
And this what makes the view of crypto becomes worse in newbies. (actually not only newbies but also other people in the crypto world can also be trapped in that kind of scams). They only know part of crypto, not the whole. In fact, to know about the crypto, we must understand the basic, development, the risks & dangers, and also the earning/profits. I will put earning or profits after all because if we only think first about earning and profits, we will be easily trapped by the scams and other frauds here.

Moreover, more to remember:
Once you enter the crypto world, you must be able to manage and control your emotion:
- never panic, emotional, can't control the danger because of the bear market,
- the feeling of a hurry without any analysis, so we can get trapped so easily, it is mostly because of the greediness to earn reward easily.
- Only following hype, FOMO, fud, that make everything goes worse.
- If it is about trading and investing, ensure the management of risks, funds, diversification, and others. Some trading and investment tips should be learned.

 

I am sure that yobit does a lot of shady things with their ICOs and the dice they have and use for their investbox. I think that this YO token they have as their native token is useless too.
Although it is traded in other exchanges besides yobit.


Anyway this doesn't mean it is not manipulated or they don't wash trade it on their exchange. Not ever touching this coin and basically I'm only looking into Bitcoin for the long run and nothing else right now.

Thanks for all of these very interesting articles. I will read them and it is a great addition to have them all in one post together.

Scam
Collection of comprehensive guides on identify and avoid scam projects
Youtube scam channels. Please spend your time to report them and take them down

Bitcoin wallets, exchanges

Trading
Bitcoin Support and Resistance for dummies
[Tutorial] Golden cross VS death cross
One of the Best Weapons in Trading
[GUIDE]: How To Setup Stop-Loss order and other types of orders
[Guide] - How to use different order types.


Security, privacy
Good topics on security and privacy
Why KYC is extremely dangerous – and useless

Phishing attacks