There is no denying that cryptocurrencies are one of the top investments right now. Every other person wants to put their money in one cryptocurrency or another in order to take advantage of this ever-expanding market. Who doesn’t want to replicate the success of the initial Bitcoin investors who made millions overnight in the year 2017? Since then there is increased demand in numbers of people joining the field of cryptocurrency trading. The element of unpredictability involved in trading in the crypto market does give it the potential to offer huge returns on investment. The margins of profits in cryptocurrency trades have increased manifold over the past years. It is said that for example, an investment of US$ 1,000/- worth made five years ago today worth more than US$ 400,000/-. There is no denying the fact that with every advantage, there is also a disadvantage attached to it. In this blog, you will know that are All Scams are Really Scams.
The first advantage is that if you wish to open a cryptocurrency account, all you need is a device having access to internet and you can open up your wallet. I am sure you remember the process of opening an account with the bank. How difficult it seems to be because the bank’s staff asks you to submit various documents and if there is a mistake in them then they can even refuse to open the account.
The second advantage is that if you wish to send money to your loved ones abroad, you do not need to go to the banks/exchanges where first you have to fill certain documents and financial instruments, then there is a whole time taking process, regulations as well as certain limitations over cross border transactions. However, since you are the ultimate controller of your cryptocurrency which is lying safe in your wallet, you can easily transfer the money to the wallet of desired person in whose name you want to transfer the money.
Similarly, the cryptocurrency is not operated by any central controlled authority while the currencies having physical form are subject to rules and regulations of particular country and works under the directions of central authority. But this might be an advantage for some but for majority of the people this is a disadvantage because they need some backing to believe in the legitimacy and credibility regarding the cryptocurrency.
The third advantage is that in contrast with all other currencies of the world, cryptocurrency does not have physical form therefore the chances of theft, loss, damage etc. to your money are completely eradicated. But again for some this is an advantage and for those who lack knowledge about how the cryptocurrency works, this is a disadvantage.
The fourth advantage is that conducting your transactions in cryptocurrency is highly secured. This is due to the fact that all the transactions done in this system require cryptography which is impossible for any person other than the operator of the wallet to make any payments to someone else by committing fraud.
Irrespective of the above advantages, there are still some negatives which cannot be overlooked. In the recent years, crypto market has also become a hotbed for numerous scams and there are hundreds of people who have lost their hard-earned money to them. How can you avoid crypto scams?
Well, the easiest way to go about it is to forget that cryptocurrencies exist and not invest in them altogether. But, this means that you also give up on the possibility of making substantial returns. Once you read up about various crypto scams, it can often make it difficult for you to decide which opportunity is reliable. Eventually, all of them start to blur together and you will not be able to make a decision. Are all scams really scams? No, not every cryptocurrency is fake, not all brokers are out to steal your information and funds and not all opportunities are Ponzi and pyramid schemes.
There may be rumors about some cryptocurrencies being pump and dump schemes or some brokers being scams, but you cannot ignore the possibility of encountering the legimate broker or perfect schemes. Click here to find more about brokers like XTRgate that were notoriously rumored to be scam artists but in reality they were not scammbers.
Now a days there is a famous general misconception growing everyday amongst the communities. According to this misconception, the majority of people believe that if you are making money out of something then it must be a scam. Surprisingly this type of theory has made its way in our society and this misconception is growing rapidly. In the long run this is going to have negative impact on the peoples’ willpower to do something, adversely affect their decision making and above all will slowly jeopardize the abilities of initiation and positive thinking.
This must be stopped sooner or later otherwise it will be too late because the effects of rumors are not less than a pandemics which, if not controlled timely and efficiently, can be devastating. But as per my viewpoint, people who are honest are easily irked by the accusations of scamming and fraud because do not take such accusations lightly. The effect of such accusations can be moral damaging.
People now a days are more concerned in terms of guarding their hard earned money because they have been a victim of scam or fraud, may be once and for more than few times. It is therefore not wrong for them to assume the element of deception, scam or fraud even when they encounter people with honest intentions. This really works very well for them as survival mechanism.
One big example with which we are all familiar with is the advertisements relating to various supplements that are being advertised on our TV sets. People are so fed up of seeing these advertisements which offers to prevent and cure all kinds of ailments. These advertisements are everywhere, on tv, billboards, magazines and on the internet. It has reached to our breaking point that when you hear supplement, you automatically assume it to be a scam.
In actual fact these type of people need help because they simply cannot rush to “scam” mentality throughout their life. This help does not come from outside but inside. Such people need to develop the ability to make proper judgements about the right or wrong and if they can’t do this, then of course there are people who are smart enough to fool anyone in spending money which can turn out to be a scam.
You should check every member of their team to ensure they are actual people and not just fake profiles and names. They should also be linked with the crypto industry and have other accomplishments. If no information is provided or it is someone unknown, you should avoid using them. You also need to check reviews to see what other people are saying about a crypto scheme or broker. There will be feedback on crypto forums and blogs that will give you an idea of what to expect. They can be immensely useful in coming to a conclusion.
In addition, there should also be details about how the brokerage or schemes work. If the information is vague, it should be considered a red flag. Reliable and trustworthy brokerages and companies are transparent about their operations and take appropriate measures to reassure their customers. Don’t forget to check the claims that have been made. If returns are ‘guaranteed’ or too high, it is best to not choose the company or brokerage. As long as you take these precautions, you will be able to avoid falling for the crypto scams that are rampant and will be able to invest safely. If you are a trader of cryptocurrency or you want to become a trader of it in the near future, it is suggested that when your investment is at stake, you cannot allow your mind to play guessing game with you.
One should immediately quit guessing and start conducting online researches to find about the legitimacy of any cryptocurrency agent, broker or investment opportunity. There are many websites and web portals which are designed to help people and potential investors in determining the legitimacy of a person, business or trade. These websites provide details of scammers and fraudsters so that people may not become fall prey to their nefarious designs. Similarly, these websites also provide learning and great education in terms of letting people point out and find out the element of fraud and scam.
If the person with whom you are interacting with is giving you a solid tip for the investment in crypto-currency and you have arrived at your judgement that the person is not a scam artist, then the first you need to do is to check whether such a person has vast experience, knowledge and expertise in the field of cryptocurrency trading because in every field experience counts. In this way you can ensure safety of your investment as well as earn huge profits.