Topic: SIGNS THAT A CRYPTO PROJECT IS A SCAM - page 4. (Read 593 times)

There are even more red flags than that, like fake profiles, lying about their experience on this market, an unlimited amount of coins being created, the developers keeping the majority of the coins for themselves, a plagiarized white paper or website and banning dissenting voices on telegram or any other social media app, and this list does not even scratch the surface of all the tricks scammers use.

Which makes me question why people want to invest in a project like that to begin with.

and if you are long enough in this market, you can easily spot the scam or potential scam project at once. browse their site and its contents and you will have a very good idea what they are trying to do. if they are just to exhaust money from gullible investors or not. most are failing because they have no plans of implementing their objectives. once they got some money, either they will disappear or abandon the project without prior warning.

Every bad project does not have this, they thrive on false marketing like shilling and FOMO, they do not have a use case to market and they promote potential profit.

Projects that do these things usually copy-paste existing projects, they copy what's trending and follow their path.

A use case is everything if they are not bringing something to do the community they are not for the term and they will die a natural death just like all the past shitcoins, we already have thousands of dead coins because they do not have something to back up their presence in the market.

All of these are very subjective, and can't be applied to all projects.

1. Well, this is only a factor that can be applied to any project. Not transparent = red flag already. Not transparent to their investor meaning they are into something that we as investor don't want to see. I've seen many projects in the past especially when ICO is at it's hype back in 2017 where developers are just sharing some vague information regarding the question of the investor. Anyway, lack of transparency in any project (except for Bitcoin) is already a red flag.

2. How about Bitconnect back in 2017? Or the recent Terra Luna incident where they are offering 20% annual interest on the investor's deposits? They are for me unrealistic promises, and yet there are many investors who fell from it. Yes I agree that unrealistic promises is a red flag for a project especially when it's a new one, but the problem is some of the investors are falling easily to these "unrealistic promises" because they think that it's true. They're too naïve to think that these aren't true.

3. Terra Luna, Centra, FTX. These are just 3 of the project that has a huge community back when it's still on it's top. Terra Luna was I think at the top before the incident happen. My point is having a large community doesn't mean that it will not scam people. There is a huge community behind these 3 projects, and yet they still manage to scam their investors.

4. Meme coins? SHIB? PEPE? Other top 100 coins out there. There are some coins at the top 100 that clearly don't have any use case at all, and yet there are still many investors investing into them. I believe that having a use case would be a good factor, but there are projects out there that don't have any use case. Well, maybe they aren't scamming as of this moment, but maybe in a few months or years.

Well if we are following your 4th point, then this means that every single meme coin is a scam because none of them has a real use case and they are all just trying to generate hype and FOMO out of nowhere. To be honest i totally agree with that statement.
There are also a few more signs that a project is crap and just imagining things that will never happen like for example a roadmap that only has points like "listing on major exchange" or "10k holders after a month". That is stuff that does not belong in a roadmap.

Indeed, the target is to attract beginners who still lack experience,
so that with the promise of big profits, beginners join the project without research first,
it is better to avoid projects that promise big things.

They keep on telling that they're a very profitable project. Runaway from those type of projects because you'll never get gains from them but instead, they're the ones that will gain from their investors.

Right.

Many investors especially those that are new to the market are very gullible with sweet words from these projects. They don't think a second thought about the promises they say.

If they don't listen to the advise of others, they'll learn it the hard way.

That's not really a great highlight point for me even some good project might follow some of the part you mentioned, for me one the major signs for me is when the project team are faceless people and you can't have any trace about them, no socials account for the team members and all, they can exist and no one would hold them.

This approach from the project team looks strange. The announced price for pre-sales and at the time the token goes public is almost unrealistic. This requires super promotion of the project at the initial stage. This is not visible. Definitely smacks of scammers

Yes, all of these indicators are good for knowing the scam project, but for me No. 2 is a very strong indicator, so any project that gives you big promises that are difficult to believe except for beginners who dream of wealth is definitely scam.

What was the clear use case for SHIB or PEPE, for example? When these projects were yielding hundreds of thousands of percent returns, he was not present. You can apply this question of utilization to the other projects as well. A lot of projects have no product, they are just clones of well-known projects that were created just for speculation. They can live for years and they are not scams. Only a small number of cryptocurrencies have a real use case for their token in the ecosystem. The rest don't have one, but that doesn't make them scams. Just like the projects that had this utility could also be scams, like FTT or LUNA.

for me, the indicator is primarily a team, and if it is not there, then in 99% of the case the project will be a scam. Also, in general, you mentioned temporary theses on what you should pay attention to before investing in a project. The more the project is open and ready for feedback, it inspires confidence.

I disagree, a project can have all of these and still turn out to be a scam. So, I wouldn't base my perimeter on all you have you said here. These scammers are getting wiser by the day and are devising new means to scam you of your money.

Certain projects have a clear road map and a good-looking project team, yet they end up duping individuals when they earn their trust and invest with them. Most of these projects with monitoring teams are centralized and can never be trusted; the best thing to do is to gamble some money on them for a while if you are clear with the project road map and have little hope with the project team; use Luna as an example; it is a coin that has grown to such an extent that you could not expect their outcome in such a manner, but the project ends up dead within a short period of time.

Most projects work on their social media and community engagement first because that's where they will catch enough people's attention with good promises that may end up being false. To me, too many engagements with projects on social media are a red flag because they may quickly scam people through social media.

Bitcoin is the best option to avoid all these scams, but investing in a centralised exchange is another risk. Therefore, to avoid being scammed by the wrong project, just buy and hold Bitcoin because it is less risky and has a transparent and clear roadmap that everyone can see.

You're to determine and concluded from your end on what cryptocurrency you're to invest with and the way you desire to take your research on them before making an investment, it's something horrible to loose money at the course of making additional efforts to source for more with crypto projects, everyone investing on this cryptocurrencies we are seing were taking their personal and individuals risk after which they had conducted their research on them, there's risk everywhere especially when it's all about crypto investment.

Crypto project team members are fake or copied from other companies should be included in that list. Well, the signs are the basics in my opinion because that's what people do when they want to know if the project is a scam. If you really want to avoid a scam projects then you should not buy their shitcoins or invest in their project. In my opinion, it is better not to buy or invest even though there are some projects that are not scam and just buy Bitcoin.

Don't use the referral link which is not allowed. So please edit your reference link and delete the referral part if you don't want your account to be banned.


Use this link is good enough https://www.binance.com/en/feed/post/804194

Most projects have gone beyond all these noticeable signs and are nearly perfect to the point where they might all appear to be real in most people's eyes. Before, it was very easy to identify some fake team profiles where they used someone else's photo with another user name to make up their desired team with a fake social media profile. But this time around, it took some projects years and time to keep some things nearly perfect, doing some background checks within themselves before they could come out to the public, and it will be hard to detect that their team is fake because they make the profile appear clean and their selected images are people who are not on social media.
 
Another way that was easier for people to identify fake projects was from their white papers, like the one outlined above. Since they are just out with the intention to scam, all they do is look for similar projects that share the same vision as their intended project and copy and paste the information, just changing the name of the project to that of theirs and the date to recent.

If there was no transparency behind bitcoin then the digital technology would have crashed and faded away by now just like every other scam projects over the years, and the SEC on the other side would have being able to get concrete grounds to pin the project down. But guess what mate! Nothing as such has taken place and bitcoin is increasingly getting more acceptance and value by the day.

You rather not be mistaking anonymity of Satoshi to a scam. Every bitcoin enthusiast is comfortable with the anonymity of the developer and the decentralization of the currency. I wonder what kind of transparency those fiat banks do offer you anyway.

It's quite regrettable to find a project online and decide to invest because you trust what they have to say. NOTE that You are about to spend the money you have worked hard and saved into something that promises a high return without conducting adequate research and analysis into it. And you're not confident about it. And I think that before investing in a project, as a long-time investor, one should conduct study. If not, they are putting their money at a very significant risk.


Because you see cryptocurrency discussions taking place here, that's why you believe all reliable projects should have the same things, which is not the case and they may not be scams. As a result, you believe all reliable projects should have this community or another online discussion space similar to bitcointalk. Therefore, all that is required, in my opinion, is that if someone comes across a new project online or even a cryptocurrency coin, they conduct the right research about that project before moving further.