Topic: How do I know legit and scam investment? - page 5. (Read 640 times)

Try to understand how all the system works and flow of the service, if you find any shady part have doubt already that it may be a scam. Usually you will see that the ROI they give is too good to be true. Honestly sometimes you will not know whether one investment is a scam or not since they are evolving constantly and getting better and better at scamming people and also there's a wide range of scams they are doing there are gambling scams, investment scams, staking scams and many more it is in different shape and forms.

That summarizes it all. But if you want to be more aware on the difference between legit and scam investments, keep learning and go with the details in crypto. Most of the time, scam investments look very legit since they also come in a legit way. But you will only discover that this particular project has turned into scam when you lose your capital and steal it from you. You're right, if you want to keep on the right track, prioritize bitcoin. And stay away from being greedy since its always the cause of falling you into their victim.

The only thing that I can identify if that offer looks like a scam is how much they return they will give to their members. If you see the number of returns is too big or too good to be true, you need to be careful because that can be one thing that a scam will come after that. I am sure many things that we need to prevent from the scamming of the investment but I admitted that it is difficult to get the real sign to know if that investment is a scam or a real investment.

Define "trading company". If you meant which crypto exchanges are scams and which are legit, it's really pretty simple. Only use the exchanges that already has a really good reputation of providing a good service. You really have ZERO reason to be using the smaller, newer exchanges despite looking promising.

Ponzi scheme = scam
Pyramid scheme = scam
Cloud mining = scam
Investing in altcoins = some are legit, rest of them were scam.
Staking, invest in centralized entity = not scam, risk involved

I already summarized the common stuffs in this space about such investing or earn money, I think it's enough to answer your questions since your post are still ambiguous and I don't know which scam you talking about. If you want to free from scam I suggest only buy Bitcoin and hold it in non custodial wallet.

Collection of comprehensive guides on identify and avoid scam projects

Read the contents of the above link on a daily basis and you'll get to see some patterns/ red flags starting from their documentation, team, and some under the table transaction stuff that is hidden from their investors.

On a technical point of view, this post can also help you determine which coin or alts has the potential to get some quick buck which means that learning on what to identifying between a shitcoin and a gem could help you have an upper-hand in terms of investing.

Research may not be able to show that a particular coin is scam that is if you are buying an unlisted coin. Teams that want to scam will definitely do that no matter your research. I think it is now wiser to buy coins that are already trading and with that you have your coins to yourself and what you will worry about would be the price increase but as to having your coins in your wallet won't be a problem if you buy listed coin.

I agree that the team behind any token matters a lot and although most of the tokens come up with new teams and faces, at least knowing the teams will guarantee that they cannot run away suddenly without much you can do against them. Another important factor while analyzing projects is the ability to read the whitepaper and if possible do analysis about how well the token scales into the future. Most of the times we are excited about a particular idea but forget to analyse how it will do in a few years time.

Not everything that shines is gold and that's why we have to analyse what we are investing into is durable enough to not just survive but excel in the future. Scalability is a huge problem with even huge blockchains lie Ethereum.

Ensuring completely that the project is a scam or not is hard enough, experience will take you one day to find out. Studying their non-plagiarizing legacy of white papers, their unsuspecting social media, in the sense that the latest meme coin has shown how rampant scam projects are. Maybe you can learn from how they cheat and ask you to join the pre-sale but you find a lot of gaffes. Well, I always try to research it myself, although not 100% sure. But every time I avoid a project then at least I reduce the losses in investing.

Not really, a project that's real would be always focused on building rather than price control. On the other hand, projects that are too focused on price control are mostly scams because they don't have a project to show and build, hence focusing on the price all the time.

Sometimes it seems like real projects don't look solid is because they are not spending money on marketing unlike some shit coins with no development. But as an investor we must have the ability and a keen eye to spot what project is actually building and which ones are based on hype only.

The difference between scam and the wrong investment, most of us have been scammed once or twice, but rarely someone scam you several times in the same way.
Wrong investment or a strategy that needs to be developed, so it is not a shame to invest wrongly several times, but the most important thing is to build a good vision of how to invest and fix all previous mistakes.

What we need is to develop ourselves to detect scam quickly and take advantage of mistakes in investing.


Greed and lack of learning are what keep scam going.

I think it's not an easy task to know if the new project is a scam or not. If you talking about an investment like Cloud mining then 99% of them are scam I never made any profit even on an investment site before.

If you talking about assets(Coin, token or NFTs etc...) then it's different there are some legit and there are some scam projects. The first thing you need to do is to make a thread here on the forum to discuss if that project is legit or not.
Or do it with your self but it won't be an easy task unless if you have any knowledge about scam projects. So the best option is to make a thread here on the forum.

This is actually true based up on real experience on where legit projects do looks like a scam and those scam ones looks real.How to identify? Its not easy but it could be done.
Make in depth research then try to find out holes in terms of legitimacy specially on the team behind the project and always go for the roadmap and try
to read it whether its a realistic one or impossible thats on where you could really make out some conclusions or could help you out on your decision.

Scam are distinct and obvious but only people that know about it would be able to avoid it. Scam are of the same tactics and only the greedy and inexperienced people are the ones falling into scam trap.

For example, bitcoin holding as a form of investment, is it a scam? No. But provided, if done using decentralized means. But on the other hand, some people can set up a platform, promising people to deposit into their account to help them trade. If sent bitcoin to them and they give back nothing in return, leading to scam. What experienced people will never get involved in as they know how scam it could be.

Another example is a ponzi site promising high yield return, like cloud mining sites that promise high yield return of mining return which experienced people known how impossible the profit is as the mining is not profitable up to that. So only novice will fall for this.

How about airdrops built for scam purposes. All these can be known and be avoided.

There should be appropriate research before investing. Scams can be known and be avoided. To avoid scam, experience and learning about how to avoid it is very important, but also greed should be avoided.

About trading, learn and trade yourself than entrusting your funds to a company that promises to trade for you, this is a scam. Instead, if you can not trade because it is highly risky, you can hold instead. Avoid those scam companies with positive reviews which are actually fake.

I have come to realize that most of the real investment do look like scam. meanwhile the scam looks like the real once,50 percent of us  here have been scammed in one way or the other, But still yet we call ourselves good investors meanwhile we are investing into the wrong company.We really need to know the good and real trading company because they are all like the scam.Do you really know the difference?