Topic: How do I know legit and scam investment? (Read 620 times)

No legit investment would look like a scam, except that the team are not serious with what they are doing. A good team that are ready to do good business and succeed in the future would always make sure that everything is properly laid out on their website, and they would go as far as hiring a good web developer and also a professional writer to handle their websites and make sure that everything is clean, and even do a review on top of it.

When you notice that everything on the website is carelessly being done, and there are errors here and there, then that is not a serious project or it is straight up a scam. Most of these scam projects are easy to tell, mere looking at them you can easily tell that they are scammers. So, if you are not sure of something, just avoid it or you can ask questions on that particular project so that others who would be able to detect whether it is a scam or not would look at it and give you the proper answer.

Those lessons are being learned by many of us because we don't want to end up with the same scams. That's why being scammed many times, there's really a personal problem that you should go and find it on your own.

That's right.

They know the weakness of the investors and it's about greed. They'll show how much they can earn in a short span of time and that will trigger the greed of those investors because they're looking at high amount in quick return.

These scammers usually feed off of the greed of most of these investors. Some of these investors are fond of neglecting the loopholes that shows clearly on these scam projects, and when they are looking at projects to invest in they don't really focus on things that they are meant to focus on, rather they just focus on what they will be able to earn from that investment. And at this point the scammers definitely owns them, because these scam projects would always promise you things that are impossible. They can even go as far as telling you that you would be making 200% return on your investment in a year.

And when these investors see that the promises that these projects are making is too high, they just quickly fall for it and invest their money in the hands of scammers. People should learn to be careful and properly research on a project and look at the things or areas that they are meant to look at to know whether what they are investing in is legit or not.

And it was not impossible if we are able to learn those mistakes that happens before. It is quite simple that we need to clear our decision-making and help to make it right. And in fact, nothing could help us but just ourselves then. If we are still not got caught with the scam investment, there is something wrong with us and I guess, we'd better stop doing this or else, that could be the reason to empty our pocket. And I think we don't want this to happen and that is we have not to stop learning and to further enhance our knowledge as this scam is visible enough to see them. They are offering a lot that seems not unusual.

Yes, there's no denying that many of us made a mistake and probably have been a victim of a scam once. Once is enough for being a victim and if you've been becoming a victim again and again, it's a personal choice and no longer a coincidence.

Because you should already be able to avoid those scams through your decision making and you're able to find out that there's something shady for that project you're about to buy.

Sincerely speaking, sometimes, it's really difficult to tell, cus like you said, original projects sometimes look like a scam while the ones we thought or think are scam later appear to be the original one.
Crypto is really a sophisticated form of financial technology which requires investors to be always very careful and conscious of where the money is been invested in.
I think one of the rules are "if something looks too good to be true, then it's probably not true", like an investment promising great returns in a very Short period of time after you invest a very little amount of money.... Things like this are what people easily fall for but a sensible person should know it a scam.

I noticed that scammers practically do not use the Ethereum blockchain due to high commissions, choosing alternative blockchains such as BSC and Matic, which have very low commissions. Therefore, I have great confidence in such projects that are made on the Ethereum blockchain.

Those who would be wreckless would still get to know their lessons in the end. Admit it or not, we've all committed a mistake when we were beginning in trading especially most scammers are targetting new investors. Sometimes, we have to get scammed to learn to be careful and to always do our research. Wiser are those who are skeptical in picking good projects over scammers. Doing research is still an edge.

Scams:

-High return claims
-Ideas straight out of the sci-fi world.
-Coins with too less minting. For example, availability of coins in thousands, claiming quick up surge in the price due to demand and less supply.
-Projects which has theoretical applications and products/services.
-Copied project, the ideas which are already on the market and being played fairly well by the aboriginal project.
-Projects with too much expenses in show casing, marketing, poorly handled social media's, over spent budgets on the campaigns, airdrops etc.

Legits:

-Roadmap with clear vision of products/services being offered.
-Ideas which seems realistic
-Proper circulation of coins, tokens, proof of mining, fair liquidation of the coins.
-Classical social presence, enormous support
-Projects with obvious, first glance acceptance.

If we are more careful in choosing projects, and always check projects before deciding to invest in these projects. We should be able to avoid
investing in scam projects, actually it's not too difficult to identify which are legit and scam projects. Usually scammers always offer something
that is too good to be true, so that many people are attracted and end up being deceived. So don't be too careless by being immediately attracted
by any offer that's too good to be true. Most people who are deceived by scammers are because of their own fault they are not careful
in making decisions. One more important thing, don't rely too much on other people's opinions to make decisions, because sometimes other
people's opinions just make us choose the wrong projects. There's even a chance that someone might be promoting a scam project without them
knowing it, so don't trust other people's opinions too much.

Well nowadays many projects really look good to me because the scammer is developing their new way to scam us, every time we know their method to scam they will improve their method too scam us till we fall in their trap. If you can't afford to lose money better to join a trusted project rather than lose your money in vain and forget about quick profits if you really want to join a new project.

You have a point most scam investment looks real and vice versa but you can adopt a simple trick to avoid been scammed. Scam investment usually have this persuasive marketing strategy and most of which have no economic use and value. If one must consider a legit investment first thing is to study the vision behind the projects and secondly how reliable the hypers are including the market capitalization of such projects I guess this few might serve as guide

True, that's what I have been using when tracking projects to support on. Stuff like if they copy the whole team from other projects to theirs or if they have involved on another scam projects back then etc. But, most of the people just blindly choosing the projects because they think the projects look "good" without any valid position and then they cry after that.

The scam itself appears at any level of experience, believe me it is a myth that scams always only happen to newbies, anyway, it is a process the ability to get away from cheating projects but not 100% effective in the investment process.

There is no precise guide, so when entering any project it is your decision that deprives and not that of others, there are scams waiting for you ... even though you take all the precautions and You have a lot of experience, by the way this is phrase may be recurring in the idea but it is worth repeating it; no matter how safe and promising any investment is, always keep funds that allow you to be investing again.

Exactly, this is why since there are so many scams in the market of cryptocurrencies and most of the time it is very difficult to distinguish a good project from a bad one that it is better to not invest in coins that have been just released yet and wait until a significant amount of time has passed and see if the developers have fulfilled their goals, now by doing this you will lose a period in which the coin will gain a lot of value, but you also decrease significantly the chances you will be scammed.

Well I agree with that, never invest in a new project because most all of them are prone to scam.
I also prefer to invest with the existing project and that is listed already on exchange, or better to focus on investing in bitcoin if I have enough capital.
Investing in a new project it seems like you prefer to gamble your money and hope that you will earn profit in just a couple of months, invest in the project that has already gained trust from the community.

There are ways to determine how to spot if the company is totally scam or not but in the end, there are projects that shows a legit operation at first then will change color along the way. That's the risk of investing in new projects.

The solution? If new to that kind of investing, then don't invest in new projects but choose coins that are already listed and performing well in the market. Those only with guts should take the risks of investing in new projects as they already know the risks they are facing to.

Thus, if we are too lazy and not doing research, it just going to believe that these people will be got hooked up in easy money schemes, quick returns that are obviously a scam investment. That is why it is a must to do simple research, have to spend time looking on the internet that at least it gives us some insights and guide what projects we have to invest in and which one is not. And the last thing is that, we don't have to be greedy, as this is the common reason why investors had fallen into scam/fake projects.

This is necessary before you invest, have more research about the project you’re looking for though its easy nowadays to spot scam and fake projects, you should still do some effort to catch them. Also, if you’re active here in the forum you can see more updates about scam projects and by this you can avoid them as early as possible.

^ Definitely right, there is no way to spot a scam project because as of now, most scam project seems good to be true but it is not, they will scam at the end of the project and make excuses. But at least we have a sign that we can determine it is a scam. Everything was on their documents and that is why people keep advising that should have been researched before putting your fund in any kind of investment.
Probably a good spot of a scam project is on when the project has a poor progress update.

On point! We do only mind off when we had already made out some investment and realized later on that you had done wrong which is really a very common mistake for someone to commit on.
When im still noob i do really have this kind of problem but once you do gain sufficient experience and awareness then you would able to point out directly which project is worth
and which project should be avoided but it wont really be simple as it sounds yet you would still need to make out some research most of the time.

Most of the time, it is already too late before we realize that the project is going to disappear or end up as a scam.
While some are sincere with their endeavors but the problem is their financial capability, why some are ending their developments.
Up until now, there's no defined strategy how to spot a legit and scam project, you just look for possible warnings.
Like for example, if the project is using fake images of their members, then, the likelihood that it will bad is high.

Legit project are very easy to know if you are ready to going through their past project and their current project in the community. They don't have any short cut for any investors than to create a smooth procedure for all customers that are willingness to help them to advertise their company.
Scam investment has a lot of short cut in the project that will attract many customers to fall in love with that particular investment. At the beginning it will look legit to the eyes of the investors to invest huge amount of money that at the end they will make double amount of money  they have invested but at the end it will now show scam investment.
Take time to study the project before participating, for you not to involve your self in scam investment.

We can check most of the projects website and we can get more information through their social media links, and specially we can check that the projects are audited and that can be better in all aspects, so we can get through these social media links and get informed through it, then it would be better to get aware of all the scam investments platform.

It’s challenging for us nowadays that we cannot determine if they are legit or scam. I have to agree that scammers are already becoming smarter and I’ve noticed that. They’ve learned from their mistakes on why most experienced people aren’t falling for their scams that easily. As they continue to get better in their scamming tactics, we should also get better and “upgrade” our minds in avoiding the next “level” scamming tactics that they have nowadays.

I think scammers have become even smarter these days as most of the scam projects even look like more legit than those real legit projects. This is the reason why we have to be more careful in choosing projects to invest these days and as much as possible, research on the project a hundred times and trace the background of the team behind if they were into successful projects or not, or were also involved from those scam projects in the past. Its better not to invest when you're in doubt, than taking the risk and end up losing your capital.
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You're right. In the absence of experience, it is enough just to get involved in a fraudulent project. Today, scammers do not spare money on advertising, make a big fuss about their projects, thereby provoking inexperienced people to invest in their scams. But as it has already been proved by experience, a lot of newly-minted projects do not live up to their final goals but evaporate as soon as they collect a small amount of money.
To this end, I recommend investing in bitcoin and some altcoins that are more trusted in the early stages. But even with them, I would not risk it.

The desire to make money quickly in the absence of knowledge and experience always leads to the loss of the deposit. For this reason, most of the victims of fraud are represented by newcomers who have heard that using cryptocurrency you can quickly get a big profit.

I think scammers have become even smarter these days as most of the scam projects even look like more legit than those real legit projects. This is the reason why we have to be more careful in choosing projects to invest these days and as much as possible, research on the project a hundred times and trace the background of the team behind if they were into successful projects or not, or were also involved from those scam projects in the past. Its better not to invest when you're in doubt, than taking the risk and end up losing your capital.

The cruel thing is even they do look legit at first. After they have finished their public sell or any similar things called, they are just suddenly gone without any trace and using mediocre reasons as their backup such as "COVID" or even the project has failed to meet the expectation etc. If you have seen one of that then that's really difficult to even track if they look legit at the beginning.

In simple talks which is about on being greedy because they would really cross out risks management whenever they do saw that they could potentially make big profits once they do engage on

without even thinking about on how reality works and directly make out some actions without having second thoughts or thinking. Just make use of your own common sense
and you would able to make out decisions basing on what you are seeing.

Dont be dumb and let your greediness control or overcome you because that would really result into disaster.

This is what it should be done, people invest in a project when it is at a stage in which all of what the developers have are promises and nothing more, and a great problem is that most of the promises that we see are empty promises that are worth nothing.

However people are so obsessed with obtaining profits that they disregard any danger to themselves and their capital and invest in those projects despite our warnings, it is sad but at the end of the day it is their decision, as they will be the ones to endure the consequences once they inevitably fail.

You won't really know the difference but instead what I do is to wait for them to deliver the product first and if they could really deliver the product. Due to the scam projects right not it's impossible to know whether a project is scam or not sometimes it is better to wait for them to listed on exchange or deliver product before investing rather than be an early bird on something you are unsure of.

Well, meme coins may seem legit in the beginning but when you started losing because its value falls drastically, that's when you realized meme coins have turned out to be scammed projects in the end.

However, legit projects have real and solid foundations and and are sometimes seen to be scams because they only grow very slowly. On the other hand, scam projects are even considered the legit ones because the rewards are definitely too good to be true that you will realized in the end if this is really existing. But if you are knowledgeable enough, you won't fall from this kind of project.

In this cryptocurrency market, investing in bitcoin for the long term is the wisest thing to do and safest, invest in new altcoins and run a high risk of losing money


I've been deceived too, it makes us create experience


Of course I know the difference that's why I avoid putting money in meme coins for example

Scammers do ride with the hype, that's why when the market is bullish we are seeing lots of money coming and that's where the scammers will try to play again, they are using the popularity of crypto for their bad intentions, so we have to be careful all the time, do due diligence before investing to ensure that we can minimize the risk.

And this is where people do make out some self realization on when on the time that they do fucked up themselves on the time that they had faced out the reality then its commonly that people would be having
this kind of reaction and this is where learning do comes from on the time that you would experience unfortunate things which is really a very common thing.
Having your common sense intact most of the time will surely save up your ass on something like this on where you do mind off about easy money doesnt exist on the first place.
You should realize on how reality works and you wont really be messing out yourself.

This is why we need to keep our expectations in check, it is very easy to think that we could invest in a coin and then multiply our capital by 100x or more, but this is very uncommon, most of the stories we hear in the market are of people losing their money, however many people believe that something like that is not going to happen to them, and once it does they believe it is unfair that it did, when they are the ones that failed to take responsibility for other actions and did not protected themselves as much as they should have.

I agree with you on this. Most people want to make millions from a little Investment. That's why they keep talking into the trap of scammers, and end up losing their money. Those scammers understands that many people are blind by Greed and also they lack patience. So, they trick them with mostly investment platform, telling them to invest and earn high profit. And One thing I notices about scammers is that they try to convince you into believing that they are legit.

Yeah, OP said that sometimes legit projects may appear to look like a scam but they are not scam.
The thing is not that they appear to be scam, The thing is that they might appear in a way that does not impress you enough to invest.

So, you have to start knowing the things to lookout for you to be able to know that a project is a scam or a legit one. For example some people do look at how .

Tricks can be known and be kept away from. To try not to trick, insight and find out with regards to how to stay away from it is vital, yet additionally voracity ought to be stayed away from. Its difficult yet it very well may be finished. Make top to bottom exploration then, at that point, attempt to discover openings as far as authenticity extraordinarily in the group behind the task.

How to indicate scam /fraud or not is quite difficult nowadays. because the fraudsters/scammer have developed to become more reliable.
So the way to analyze it is enough with "we really need to know the real identity of a person or company that we are going to invest in".

However, today's identity is easy to fake.

but as long as we want to try to dig deeper into the related information. then it can minimize us being deceived in the future.

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I agree with your opinion.

But for extra.
We must identify who is behind the project we will enter into to invest.

Now a lot of tokens/coins have been registered with CMC and CG but it turns out they are scammers.

Because I experienced it several times.

I invest in coins that have been released in CMC and CG but it turns out that the owner of the coin withdraws liquidity or someone sells the coin on a large scale so that the price drops drastically.

Then make sure who owns the project. and the background of the project owner.

[moderator's note: consecutive posts merged]

In terms of the exchange here in the cryptocurrency that's hard to know dude, but to make sure it is one of the legit one always use the platform exchange in which they are listed on top just like at the coinmarketcap and coingecko is one of the good for this matter. now in terms of choosing projects, always check their whitepaper if they don't have it, avoid it and ignore something like that.

This is the only way.

@OP, there's no short cuts in knowing what are the scams because these days they seem look legitimate too. That's why you have to be curious at most time and add precaution with any of them that you're interested in.

Yeah, it's the reason why DYOR is mighty.

No matter how good a scam might look, someone who would find out will always find out. I do see a lot of them like every day, and they might pretend to be legit and try to look like one, but at the end I still find out they are not legit. It’s just all about you knowing the strategies that are being used by these scammers every time, and also you have to know the things that you are to be looking out for.

You started like in general scam and legit but while finishing up your post you sound like you are looking for a legit crypto exchange and in my experience, you can easily find one and I guess binance must be an obvious choice for most people here.

Actually, collecting information from various sources helps us to determine which projects are good for investment. So don't be in a hurry to be
interested in investing because team projects promise big profits, because scammers will do various ways to attract investors. My advice is always
to avoid projects that promise something too good to be true. Especially now that scammers are getting smarter in committing fraud, even some of
the scam projects that I found look very legit. So it's not easy to determine which project is legit right now, so when we find something suspicious,
even the slightest, it can be a consideration for us to leave the project. We better play it safe, by choosing projects that we really believe that
the projects are legit.

This is true. If they are offering too-good-to-be-true ROI, doubt the legitimacy of the project. Because if they are generous at the beginning, they may be planning something. Like attracting naive investors and later on, they will disappear. Also, it is hard to identify at the early stage of the project as they still need to establish their platform. So if you want a better security, just invest in long running projects like ETH or BNB. Because you know for sure they are not a scam. Some are into new projects for the hope of high profits, but you have no assurance that they will survive.

Well, many scammers give us good returns just in a few days while a good investment will give us a normal return except in trading where you can get 5x in return in a week. Always do some research before you invest in a project, its roadmap, the team, its utilities, and many more. Dont let new people who enter the investment world get scammed from scammers because when they got scammed they will be afraid to invest again.

To keep ourselves aware of the current situation will help us to know what is legit and what is a scam investment. It is all about learning from our experience, as the more we engage on the market, having spare time doing research, the more we become knowledgeable enough. And this will guarantee that it saves from falling into the wrong investment but having it right. We can't just be reliant on others but rather have our own investigation, which certainly lies on us and we make choice to what project we invested in after doing this.

Well, raising the thread and asking the members in the forum is definitely a big help not to fall in scam projects.  But you also need to do your part through engaging in a deep research so you will know if the project itself is legit or a little bit suspicious like a scam one. If you are seeing some faults in it, then decide not to invest in it so you can save your money and time. After all, if you are knowledgeable particularly for new projects, then  its hard to choose which is legit or not.

The only way to help us to identify if that project is a scam or legit is to do searching. But some are very careful to hide who really they are and we just get surprised that they turn into an exit scam. Although we could think that searching never gives 100% assurance, well, that seems right but at least, we do something that could help us to warn ourselves. But in the case like I've mentioned (exit scam), that really be our unlucky day to choose such a project that are/is worthless and untrusted developers.

Over gaining experience on this crypto space, you could get enough knowledge to deal against scams to save yourself from all such scammy traps. It will happen only when you are open to learn. People who never spend time on forum like this cannot learn the life's important lessons but may get scammed more frequently.

Do you mean that trading company means crypto exchanges? Or anything else? What kind of differences that you are looking for? I guess you must add more information on this.

In-depth research is important to be able to find out legitimate investments and scam investments.
Seeing in terms of real teams, whitepapers and clear frameworks and how much we will get when we invest. an unreasonable amount will be suspicious, as well as an unreal team and just plagiarizing all existing projects.
Be more vigilant and thorough before investing, because the more investment projects there are, the more scams there will be.

Here is a quick guide:

> If you are getting poor by holding it, it is a scam. If holding it makes you rich, then it is legit.  

Tbh most of the projects are scams. If I had to throw a number, I'd say 999 out of 1000 are scams.

Most people see doge as a scam but that didn't stop doge from making a huge moon shot. It made lots of people rich in the end. ShibaInu is a lot newer than Doge and it is as big as doge now. Lots of people think it is a scam too but still it made lots of people rich.

Investing in a scam don't always mean you are making a bad move. Lots of legit projects died. Look where namecoin is at. You won't find it. Maybe on the 9th page of CMC at the 850th spot   That was a legit shitcoin once.

Just don't be greedy then you will be safe from a lot of scams. Don't look for something free, then you will safe from many scams. Although definitions of the scam are the same but way is different. So you should be updated on time. There aren't strict rules to prevent scams, because scammers always break rules. If you ask me, all kinda investments online are likely scams. Staking in a reputed platform is different, it's staking not investment. Otherwise, I can't see a profitable investment platform over the internet. Rather than play with your funds by trading would help gain some profit or lose it as well.

The risk is always at the new projects in the market since most that are arising today are scams. And they look like legit projects in the first place so its really hard for us not to fall for them. But if we create good analysis and a thorough research on the project and the staff behind it, we can see differences between a scam and a legit project. This is the advantage of having a full knowledge on the project because you'll come to uncover its faults. And only then you can avoid falling from scam projects.

There are a lot of scams here so if we are wrong to take steps then it will plunge us into losses. They provide various attractive offers to attract investors. it is difficult to determine whether an investment project is a scam or not but on the other hand we can learn to choose a good project by understanding the project itself. in the sense that we understand the concept, the team and also the development of a project. Only then can we decide whether the investment project is worth following or not.

Those who have been a victim before is unlikely to be a victim again by the same scam. If ever that person becomes a victim again, he doesn't learn from his experiences and still aims to earn fast money with these projects. There's no need to know about a trading company because if you're talking about it and like a brokerage, many of the scammers are hiding into that form for which that you should avoid most of them.

At least for the obvious scams that are asking you to deposit this xx amount and then promising you a guarantee and exact amount.

My experience is I don't know if I should line them up with other scams. Most of my investments before didn't hit the soft cap so they need to stop their campaign and closing all the connections from presale buyers. Maybe it's a scam or maybe they just also want their money back. I don't know. Maybe I am a little soft about it.
So how could you tell. First, the true scammers are obvious especially those who don't really know what they are doing. But, those who knows how to manipulate people and to look like they are legitimate business, you cannot tell. Check the team behind it. That's what I always do first.
The project. Is it to good to be true? Their offers on early birds. Are they giving away too much bonus? Good luck.

It's hard actually to tell which project is a scam or not to be honest.

But what I'm always doing is first I will always check their whitepaper, scam projects will always have a plagiarized whitepaper. Next would be their website, I will check which companies or people they are in partnership with, scam projects would have fake reviews of fake people as well in their website. Also, fake projects would always be going too good to be be true.

Yes, this is true, many projects are now engaged in fraud. The main thing for an investor is to withdraw money on time, when the project is launched, unless, of course, the project is launched, then it will not be possible to withdraw money from anywhere.

I agree with you, we always come back on those common and simple indicators, too good to be true and fast ROI! Probably it's greediness that makes us believe in something that can make us rich in the short run, and I guess all of us made a mistake or two when we started investing and learning about the markets! Definitely, people shouldn't allow being fooled with big promises, and people should never trust something with all their money... careful approach, research, and thinking before making a decision is what can keep us safe and give us more chances for making a profit!

To find a legit trading company is not a big deal. You can easily find them in this crypto space with the help of bitcointalk forum (please not trading company only for cryptocurrency trading and not for forex trading or similar to).

You can find crypto exchanges which are providing active support from these sub:
Service Announcements.
Exchanges.

Outside this forum, you can use coinmarketcap for that: here is the direct link:
https://coinmarketcap.com/rankings/exchanges.

Personally I am using binance and bittrex; both must need KYC clearing. If you want to KYC free exchange means then you can go for kucoin. Avoid exchanges which are having open scam accusations.

Crypto lately has been in the main stream and as a result there are tons of scams due to it. And most of the scams are pretty obvious but people keep falling for them.

Nobody wants to buy Bitcoin because you won’t get rich off Bitcoin anymore. Even if it eventually does hit $100K it’s only 100% gains. And that’s if it hits $100K which could be never or in a few years.

The obvious scams like Floki or Shiba inu are pump and dumps pretty much. And there are many ponzi which claim 10% profit a day, which is also a very obvious scam but people keep falling for it.

Too good to be true
Fast ROI
Fast way on getting rich
Easiest money making

These are the common indicators on which you could really say that you are dealing with a scam. Dont make yourself get fooled or let your greediness inside you
would take over or would control you because that would really be a big problem if you do that.

Research and be wise on taking decisions because once you do make a mistake then that would surely cost you.

Usually scam projects has a too good to be true offer that makes people dive into it for believing it is legit (majority of these investors are either lacking of knowledge or greedy).

Thus, to avoid the scam investment we need to do an extensive research before investing, much better to not invest if you dont know what you're getting into.

We're going to invest our hard-earned money so its better to be careful to avoid becoming a victim of scammers.

If the real investment looks like scam, then it is very highly likely a scam. Something that is legit should never look sketchy. It shouldn't because they wouldn't be hiding anything and they will have full transparency. And no. The scams doesn't look "legit" if you dig deep into those offers/investments/platforms. There is always something that should trigger the scam alert in you. Just do proper research. If they offer something that is too good to be true, then are very highly likely trying to scam you. So avoid them. The only way to know the difference is to use your common sense.

If you see suspicious acts on the team behind like they are pushing you to invest your money and they offer huge ROI that is too good to be true, then better stay away from it. Its one of those signs that you are in a wrong and scam investment. However, identifying a legit project is sometimes quite hard too as most of the legit ones look like scams, and scams look even more legit. So its better not to make instant decisions, but research first and create a background analysis on the project you wish to invest. Be careful too not to fall for the tricks of the team behind the project because i'm sure they have become smarter on scamming people as the years pass by.

Legit and scam investments are always subject to onces judgment. In a few instances, you could be wrong but other times, could be right too. One thing you should know is, scamming comes in various forms but, a few have been noted to have some similarities not limited to huge returns with even the smallest of investment capital and over a short time frame too. Once you come across things like this, be scared already. Most times, they approach you and not you getting to find out about them, they've got no reputation to reference with and are always in a hurry for you to invest with them. Just shy away or risk loosing your funds.

It depends, there are many projects which can be easily identified as a scam in a matter of seconds, for example any project that promises that you will make profits with them is a scam, after all there are no guarantees in the markets that something could become profitable as the number of factors that decide this are infinite, and no one can analyze them all.

However there are scammers that are able to hide their tracks and it is more difficult to demonstrate that their project is a scam, which is why it is better to avoid new coins entirely as most scams due to their nature do not last for a long time before they collapse.

The best method is to not risk it at all. If you are not sure about it, then it is not worth it at all. I mean why would you risk your money on an investment that has a chance to be a scam? I personally invest only into things that I know not to be a scam, that way I never get scammed. We all know investing by buying bitcoin will not turn out to be a scam, do it on a website like binance or coinbase and you won't be getting scammed. Buying eth, ltc, bnb or whatever at the top.

This is the way to make sure that you do not lose money and you are not getting scammed. Plus, they are great projects for the long term as well, meaning if you end up holding them as long as you can then it means that you are going to profit from it a lot. It may not look like it as of right now, but these are all the good coins that you could make a lot of profit from in a few years.

Keep reading various kind of scams and hacks on the internet and you will find out how to identify an obvious scam.
Anything that is too good to be true is an obvious scam. Some scams are hard to find out and you have to trust your gut feeling for that.
You need to have a scammers mind to identify a scam. The best way to stay safe is to invest only in fully trusted assets.
For example: Instead of investing in new coins invest in established coins like BTC, ETH, BNB, SOL etc...

Agreed. It is as if scammers are getting better day by day in finding ways to execute their schemes. I second these methods in safeguarding oneself against scams. While it is true that it is through research that one ca distinguish scams form legit projects, it is something that must be done thoroughly and in different aspects like the team, concept, products, marketing, reward system, or even those people who had experience with such before you, plus a lot more matter that concerns any legitimacy subject.

Not just 50%, I am afraid about 90% of crypto people's security against scammers. Because, these days, scammers are too smart to make themselves up to look like legit.

You cannot distinguish between legit and scams easily hence you got only few methods to safeguard you against scams:
1. Stay only with bitcoin investments. Ignore all other investment opportunity.
2. Create your own investment opportunities and run a legit business.
3. Follow the basics of investment principles:
  a. Diversify your investments: as you say you may invest 50% into legit even other half get scammed.
  b. Invest only your excess amount and not the committed money.

Most of the scam projects are offering rewards that are too good to be true that you end up realizing if this is legit or not. And also at some point, legit projects look like scam too. So if you are not knowledgeable enough and create decision instantly, then you will fall as one of their victims. I think its definitely a must to go in depth with the project and the team behind it if they are really existing or just ghosts. Its also good to trace the history of the project if they have been successful or not in the past.

However, scamming has been rampant these days so you need to avoid it as much as possible. By keeping yourself updated of all the current events and studying the crypto space continuously, and not being greedy to make bigger profits, then there will be less chances for you to be scam.

On most of the cases its really simple to identify the scam and real but if its really new then it may take time, I don't know what yiu define as trading company but if its an exchange there are very few reputed exchanges are here so you no need to pick a new exchange for whatever reasons until someone tested it atleast for few months.

It is actually hard to find about the scam as you know very well that if one project launch then everyone want to start investing in it and with the passage of time the number of users of that project increases so you cannot find that weather it is scam or not. But if certain project asked for more money then you can realize that it will be scam. In cryptocurrency there are  certain projects that are scam and you invest in these project and lose your capital as you do not know about its scam.

Most of the scamming platforms are having a promising statement told that they can double your earning in just a short time, next is a system of earning like referral system, of course, its looks like a pyramid scheme that requires the number of people on invites to earn. It's better to double-check the platform or the coin you want to invest in if this is a farming token avoid this investment because it's not profitable. Investment with the projects is in some points is risky because it's a high risk-reward situation. Ideal to use platform and to invest with is the coinmarketcap.

It's really hard to know if legit or scam investment but whenever I go to new projects what I always do is to look for some suspicious thing such as fake community, unclear or impossible things that they offer or they don't have clear explanation how things work on the website and their plan, not accurate roadmap, inexperienced, anonymous or fake team members.

A small things like that could really be a good indication that it was a scam project for me.

The only way to be sure is to do the research on the team, product, whitepaper and so on for yourself. And by research I mean you have to spend a lot of time, digging deeply. Is the team legitimate? What were their previous experiences? Go ahead, message them for an interview, yourself. Look at the product: Is it well coded? Is it audited? How does their business plan work? Is it necessary? What are the use cases? How well is their marketing going? Do they have an active, real community based on organic growth? Have they started making profits?

These are the questions that you should be researching.

Make research of course, and don't use any sites to find crypto investment aside of CoinGecko and coinmarketcap because these two is known as a very legit site ever since before when it comes crypto currency. And indeed most of the information is already  there so you don't need any sites for example for data, site, social media and etc where you can obtain specific information.. So go directly on that sites instead of looking for any feedbacks in the internet because it's quite skeptical wherein mostly are fake. So be aware!

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?