Topic: Don't put your full trust on exchanges regarding scam projects. (Read 825 times)

IDAX I think is about to exit scam. They stopped all withdrawals and never respond to any request. Also decide to remove their native token IT and promised to convert it to usdt but seems impossible for now. Be careful guys, even a well established project can turn into your worst nightmare. Rumors the ceo of the said exchange was arrested.

Researching about the project is really important to avoid scam. Many people are not considering it and that is the reason why people are got scammed. If you have information about the project then you can identify the project if it is scam or not. People are controlling by their greed and they easily believe to the scammers.

If exchange enlist a scam project just for profit of few hundred thousand bucks it will be very difficult specially for new investors to avoid investing in that scam project. Since investors have put there trust in the exchange.
That's a good message. We all (new or old investor) must do proper research before investing into any project.

It's how the scammers fool people about their projects. At first, you'll think that it's looks very legit but deep down inside of the owner's mind is to fool people and scam their money. It's not only the fake projects have problems about their project but also projects that can't survive in the long run.

True, I have seen some of the projects with intense website with proper roadmap and big MNC's as their partner and they do even mention that they will be listed in one of the big exchanges but eventually everything turnout to be a hoax and a project names Athero is the best example about it as they were so promising and said they were is talks with big exchanges and dumped it on mercatox.

Actually we have a reason to worry since actually we don't know on how the dev would react and what they are thinking since there are several coins/tokens has been listed on big exchange before turned scam and chances that it will happen today since many scammers level up and if you see how good there presentations today you will see in quick blink that they are legit and huge scammers can pay huge amount since they will surely know that they can regain what they pay since many people would think that they have potential because they are listed on big exchange.

Don't worry too much about it because as far as I know they make selections in choosing projects that will register with their exchange. And the fees charged are also very expensive compared to others, so I don't think there is a reason for projects that intend to commit fraud will do something as complicated as that, establishing cooperation with large exchanges like them is difficult. Even projects with high credibility are not easy to accept, because they have very strict special requirements.

OP is right,  I also noticed it that lots of projects that conduct ico or IEO,  got dumped when listed on an exchange,  lots of these exchanges are only concerned about listing, trading and withdrawal fee,  after  the team  dump, the price does not pick up to the initial price after dumping

I just realized that so many ICO / coins have died up to now. that's even more than 300 lists. Well, if I see this, I might have supported more than 5 ICO projects that were scams. however, this thread makes us aware of one thing that so many people are cheating us out there, so be careful when choosing projects is something that needs attention.

because of this, until now I did not really hope with the project being developed. in addition, I also do not give all my trust to the exchanger regarding a project.

The credibility of the exchange is needed to support everyone not to be affected by fraud projects. The exchange team must be more careful and selective to include tokens or coins on their list. I really hope that in the coming exchanges such as binance, hitBtc, kucoin, and many others will give good performance to always selectively insert tokens or coins from various types of projects.
So, I think it will reduce the growth rate of fraudulent projects that are very disturbing for investors and prize hunters.

That's absolutely true! Listing on the exchange has no guarantee that the project will not be scammed. Because in fact after the project was listed on several exchanges, many of them ignored the development they had planned and eventually their core team disappeared without news. This is what investors should be aware of, making sure that their team has experience and also their data has been verified, because this can make you feel more secure in entrusting your funds to them.

I personally prefer mixers over exchanges because exchange requires you to provide your informations and if you decline, you won't be able to use it. I find it very risky because trusting now a days is a very dangerous thing especially if it involves large amounts for everyone is being greedy over everything profitable, they even have interest with non-profitable assets out of their greed. That's why remove the gullibleness out of your body and mind for you are also removing the risk along with it.

In my opinion the exchange should always make it a priority to keep their customers informed on information that could affect the development of a project like swapping of blockchain, migration to mainnet or forks although some well reputed exchange are doing this, other aren't and this is costing Investors.

The projects having this changes should also make it a priority to inform every exchanges their projects coin/token are been traded on to inform their customers of the development. The industry in general should learn to cooperate and share information within each other and finally the patronizer of those Project should make it a priority too, to stay updated with the projects they have invested in.

The mistake of a beginner who does not do research and does not find out the latest news on the coins held makes them ultimately lose themselves. There are lots of coins that have been listed in several markets and even those that have been listed in the coin market still don't guarantee the credibility of the coin. Trading volumes are down, there is no development of dev and there is no interest in traders to buy the coins so that the coins are finally stopped and the losers are investors.

I experienced it myself. My mistake of never looking for the latest news updates about the coins I held was making me lose.

Yes mostly exchange added coin or token because the fee, but I saw on Binance Twitter account they said even the developer paid for 400 or 4000 BTC if they know the developer is fake or shit they will not added the token to their exchange.

So trader need to make own research about token or coin they want to trade even in good exchange they need to be selective.

I see binance got so picky on listing on there exchange they have so  many requirements before they list a coins and  actually I'm trading with there new listing and leave the coin when I get the profit but I can't still recommend to give a full trust since huge possibilities that they will run off and scam people even they are listed on top exchange,  But  for small exchanges I don't give damn on them since I will not surely buy nor play them with fire.

To be honest, most of exchange just seeking for money form listing fees. No one looking at project backgrounds and how potential that project. They need just money and they will list token even with proven fake teams. What will do traders, they have to trust exchange and there is no other way. If you are trader then without trust you will not make deposite on any exchange. But main thing is, before choose a coin for trade you should research about that coin how its potential. Listing a coin on exchange doesn't mean project is potential. So there is also free responsibility for traders.

They are actually do that for a  sort of promotion since if they can list there coin on good exchange then it will benefit them to gain more money to scam since many people  will think that the coin have a potential  since it was listed on big exchange that's why I always put  a safety net on my investment and do some hit  and run on past ICO's and never go back on buying on  them since I mark all of them  as short term investment only.

I completely go with you on this. Everyone is after making money and there is no written confirmation or any rule that the coin listed on an good exchange needs to be great project. Probably the project might be paying a whole sum of funds for listing.

Two or 1 and 1/2 year ago there was a coin that dumped very hard over night for some scam done by the founder do not exactly remember the name. The coins was performing well till the news and that coin was also listed in almost all the exchanges.

And that's the good thing in binance they make sure  to look carefully on coins background before they get added on exchange  but we shouldn't still  rely on this information only since there are  some instance that they will spend more money for extravagant exchange listing just to gather more traffic,traders and more  funds so a smart  move will always on our mindset and always take the profit as long  we hit the winning trade.

That's why when they want to be listed on big exchange they need to wait longer because if this scam project will be listed on their exchange it will affect their reputation. they will end up getting some negative feedback from their community.

As you can see, you need to wait for long to get your coins listed in Binance exchange even some legit project will need to go to this procedure.
and in some other exchanges needs to have the community decides if the coins or tokens will be lists on their exchange. by making users vote for those coins or tokens.

That is True. Having full trust in Exchanges has led to loss of users funds. It has happened before and It will keep happening. The ways you can lose funds is more than one.

– A typical case scenario is if the exchange in question is hacked and all your funds are there. In such situations, The exchange immediately stop all deposits and withdrawals till they get to the root of the hack and it might take a while before operations are back to normal – And most times, It's not eady to get back up and running again. Cryptopia exchange was hacked and over $16M was stolen( link: https://cryptopotato.com/binance-announces-next-ieo-but-recent-ieos-roi-raises-some-concerns-for-investors/). Even a top exchange like Binance was hacked this year. Because funds were #SAFU this time doesn't mean It'll remain that way.

– The IEO Craze

With the IEO market hitting its peak, every tom and dick exchange wants to organize their own launchpad for tokens. Often times, These exchanges pick projects that aren't worth it on normal terms. What do they do? They hype and shill the hell out of it while unsuspecting users  get caught up in the whole saga and invests. Afterwards the value of the token goes below IEO price... Say 0.5x. What does the exchange do? They move on to shill another new IEO.  In recent times, Participating in Binance IEO has brought in more loss. Hodling BNB during the WIN, PERL and Band Protocol IEOs have resulted to more than –60% in value. Not to mention that the chances of you winning a ticket is super slim.


By the way, Thanks for an insightful thread as this.

It is not just exchanges. Never put your full trust anything. I think if you live by that advice you greatly reduce the risk of things going wrong for you.


Yes people need to stop foolishly and blindly just supporting anything. Even people who just post for the sole purpose of making a post still support these scams simply by posting in the scammers Ann thread. Which is bad and makes the waters even muddier.

Under my definition, a scamcoin is any coin which was developed strictly for making quick profits for the team, without any goal of delivering on initial promises. If you think about like that, there's actually hundreds and thousands of scamcoins, and they were/are listed even on reputable exchanges. A project that looks like it will be the next big thing today can easily turn out to be a scamcoin in a year or two. There was a thread recently about how so many multi-million ICO's of the past are not worthless and how devs have long ago abandoned them.

Usually Exchange puts the coin/token into their exchange because the project pays a fee.

If the exchange has good credibility then they will be more selective in accepting a project entering their exchange.

In crypto world we must be smart and must always be willing to carry out our own research on what project are good, not just based on where the coins/tokens are listing.

People like that deserve to lose money. At least with IEO there is a little bit of regulation so there is some safety. An exchange that offers only scam projects will soon find itself without users. YOu know how people can get so they may even accuse them when they not a scam just because they never made profits or they are too impatient to wait.

This is just continuation of ICO craze, but with this people somehow think it is much safer just because it's been run on the exchange. Like we haven't seen enough of dodgy projects and scams being listed on exchanges so far, and this is similar thing. If you have enough money you can also start IEO, without having anything tangible to show, and if it is on the big exchange, people will buy it, without having any clue what they are buying.

I don't get it how blindly users of this forum trust IEOs.
Whenever one shows up and there is a bounty campaign or something, they go to it like a honeybee and then when that exchange-listed token does not give them a penny, they come to know that they lost all their time and words behind a project that was not trustworthy and come up with complains of unpaid bounties. This thread must serve to them as a lesson and they should understand that not all projects here are trustworthy but very, very few ones can turn out to be good. Don't fall in the money mud that is attracting you, it may look like chocolate but there's a saying:  'Everything that shines is not Gold'.

Regarding the CMC, if i remember correctly they advertised Bitconnect on their website.Maybe not willingly  but they could block their ads once it was certain that it is  a huge scam. They reacted later, but IMO reaction should have been faster, fewer people would loose money.

Trust no one.

Every part of crypto is bleeding out for regulations,scammers are getting more smarter and they are taking scam strategy to a whole new level,gone are those days that you can rely on projects that finally made it to coinmarketcap but today not anymore,seriously we need regulation in crypto space to put a stop to all this madness

Experienced it myself that a token which recently just been listed to an exchange and was also been added in coinmarketcap still become a scam even after all the hard work they put into the project to make it appear like they are not. Right now they were delisted in exchange and was also deleted in coinmarketcap, I was surprise to know since I am still holding the coin.

That is true, IEOs might end up the same way ICOs did. We have seen surge of those lately, even the smallest exchanges have launchpads are have IEOs running, everyone wants their piece of cake and they don't care much about quality of the project. Huge majority of them doesn't  bring any new value to the market, and we know how that ended for ICO investors.
For now it keeps on as people are making money, especially from IEOs on top exchanges, but eventually that will stop and investors will start loosing money left and right.

I remember making a simple write up back in Feb about money ruined everything.
I know that ICOs my now not have that much hype but i think IEOs do

In the write up. i tried it illustrate how the "coin/token investors" were getting ripped right and left by Exchanges, ICO creators or owners and ICO listing websites

Here is a snippet

More details here: Current situation, how investors/traders are enriching these three.

You will understand why the exchanges and ICO ranking/review websites keep listing even scam ICOs... it always about greed and money.

There is a saying, "Not your private key, Not your coins".

I many messed up with exact wording but the statement is very similar. Good one OP.

That is true, most exchanges don't really care how legit some project is. If you pay them enough, they will list just about anything.

Perfect example of that is HitBtc, well known exchange with big volume (whether its fake volume is another subject) and even bigger amount of listed shitcoins.
Even the biggest one, Binance, might not be too thorough when it comes to vetting potential listing.Example of that is recently listed Cocos-BCX. They might not be scammers, and perfectly legit project, but they obviously  are using some shady services, and i personally wouldn't invest  into something like that.

So yeah, you have to do due diligence, i go by the old saying "trust nothing you hear and only half of  what  you see".

Welcome to my thread, I'll be putting some emphasis on not trusting an exchange to prevent you from investing in scam projects that'll surely result to you losing your funds. Exchanges {most especially centralized ones) have slowly won the trust of member newbies, they now relay solely on these exchange listing decisions to make conclusion on which projects aren't or are scam, basing their judgement on just the tradable privilege of the tokens. Without further researches, newbies now come to a conclusion, "If a coin is listed on an exchange (most especially reputed ones), The project isn't a scam and such project is worth their investment either through trading or holding" and this shouldn't be the case. We have incidents in the past and we'll have move in the future involving exchanges listing worthless scam related tokens either knowingly or unknowingly. The big reputed exchanges are also guilty of this crime therefore, trust no exchange.

Most (if not all) exchange aren't interested in the safety of your funds as you assume, they're only after their profit, don't relay on just the fact a project's coin or token is tradable that make it a legitimate project to invest in. Learn to carryout more research, don't put your trust on exchange to prevent you from losing your funds to scam projects.

Some of the useful links to carrying out this research includes;

• ICOEthics - scam list 2018-2019: https://bitcointalksearch.org/topic/icoethics-scam-list-2018-2019-5110020
• List of deadcoins: https://deadcoins.com
• 🔴💥 SCAMS of our bitcointalk 💥: https://bitcointalksearch.org/topic/scams-of-our-bitcointalk-4701035
• ⚠ List of SCAM ICO! [PROVED]: https://bitcointalksearch.org/topic/list-of-scam-ico-proved-4981560

Use this link above and Google is always at your service for more research. Thank you for your time.