{"id":90373,"date":"2021-09-16T14:28:22","date_gmt":"2021-09-16T08:58:22","guid":{"rendered":"https:\/\/blogs.quickheal.com\/?p=90373"},"modified":"2023-08-08T18:53:46","modified_gmt":"2023-08-08T13:23:46","slug":"blockchain-fraud-prevention-strategies-to-overcome-the-cryptocurrency-scam","status":"publish","type":"post","link":"https:\/\/www.quickheal.com\/blogs\/blockchain-fraud-prevention-strategies-to-overcome-the-cryptocurrency-scam\/","title":{"rendered":"Blockchain &#038; Fraud Prevention: Strategies to overcome the cryptocurrency scam"},"content":{"rendered":"<h3 style=\"font-weight: 400;\"><strong><span style=\"font-style: inherit; font-weight: inherit;\">What is Cryptocurrency?<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<p style=\"font-weight: 400;\"><span style=\"font-style: inherit; font-weight: inherit;\">Cryptocurrency is a type of digital currency that generally only exists electronically. There is no physical coin or bill unless you use a service to cash in cryptocurrency for a physical token. You usually exchange cryptocurrency with someone online, with your phone or computer, without using an intermediary like a bank. <a href=\"https:\/\/blogs.quickheal.com\/sextortion-scam-blackmail-scam-emails-that-demand-bitcoin\/\">Bitcoin<\/a> and Ether are well-known cryptocurrencies, but there are many different cryptocurrency brands, and new ones are continuously being created.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<p style=\"font-weight: 400;\"><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<h3 style=\"font-weight: 400;\"><strong><span style=\"font-style: inherit; font-weight: inherit;\">Cryptocurrency Terms You Should Know:<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<ul style=\"font-weight: 400;\">\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Blockchain:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0A blockchain is a type of database in which a cryptocurrency&#8217;s digital transaction records are stored in groups or blocks. New blocks are continually created as extensions of the previous block, forming a chain. These blockchains build upon themselves within the database, storing an ever-increasing amount of data about the transactions for a specific cryptocurrency.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Decentralized:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0In the context of cryptocurrency, the term decentralized means the currency isn&#8217;t backed by a central bank or other financial institution.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Distributed ledger technology (DLT):<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0A decentralized digital record Unlike typical databases, there&#8217;s no central authority. The record is stored across multiple locations simultaneously, and once a transaction is recorded, it&#8217;s permanent. Block-chain is a type of DLT.\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Bitcoin:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0The first cryptocurrency and still the most popular today.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Altcoins:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Any cryptocurrency that is not Bitcoin. Some popular altcoins today include Ethereum, Dogecoin. These altcoins each have different features and purposes.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Exchange:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0A marketplace where you can buy and sell cryptocurrency.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Wallet:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0A place to store your cryptocurrency holdings<\/span><span style=\"font-style: inherit; font-weight: inherit;\">.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><br \/>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\">How do people use cryptocurrency?<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">People use cryptocurrency for quick payments, to avoid transaction fees that regular banks charge, or because it offers some anonymity. Others hold cryptocurrency as an investment, hoping the value goes up.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\"><br \/>\nHow do you get cryptocurrency?<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">You can buy cryptocurrency through an online exchange platform. Some people earn cryptocurrency through a complex process called \u201c<a href=\"https:\/\/blogs.quickheal.com\/cryptocurrency-miner-hits-iot-devices-mostly-affects-brazil-russia\/\">mining<\/a>,\u201d which requires advanced computer equipment to solve highly complicated math puzzles.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\"><br \/>\nKnown issue while paying with Cryptocurrency:<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<\/li>\n<\/ul>\n<ul style=\"font-weight: 400;\">\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Cryptocurrency payments do not come with legal protections:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Credit cards and debit cards have legal protections if something goes wrong. For example, if you need to dispute a purchase, your credit card company has a process to help you get your money back. Cryptocurrencies typically do not.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Cryptocurrency payments typically are not reversible:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Once you pay with cryptocurrency, you can usually only get your money back if the person you paid sends it back. Before buying something with cryptocurrency, know the seller\u2019s reputation, where the seller is located, and how to contact someone if there is a problem. Confirm these details by doing some research before you pay.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Some information about your transactions will likely be public:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0People talk about cryptocurrency transactions as anonymous. But the truth is not that simple. Some cryptocurrencies record some transaction details on a public ledger called a \u201cblockchain.\u201d the information added to the blockchain can include details like the transaction amount and the sender\u2019s and recipient\u2019s wallet addresses.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><br \/>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\"><br \/>\nLook for claims like these to help you spot the companies and people to avoid:<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<\/li>\n<\/ul>\n<ul style=\"font-weight: 400;\">\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scammers guarantee that you\u2019ll make money:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0If they promise you\u2019ll make a profit, that\u2019s a scam even if there\u2019s a celebrity endorsement or testimonials. (Those are easily faked.)<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scammers promise big payouts with guaranteed returns:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Nobody can guarantee a set return, say, double your money much less in a short time. Scammers promise free money. They\u2019ll promise it in cash or cryptocurrency, but free money promises are always fake.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<\/ul>\n<ul style=\"font-weight: 400;\">\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scammers make big claims without details or explanations:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Smart business people want to understand how their investment works and where their money is going. And good investment advisors want to share that information.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<\/ul>\n<p style=\"font-weight: 400;\"><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<h3 style=\"font-weight: 400;\"><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scammers Target people through:<\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<ul style=\"font-weight: 400;\">\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scam Websites:\u00a0<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">Scam websites work in various ways, from publishing misleading information to promising wild rewards in a financial exchange. The end goal is almost always the same to get you to relinquish your personal or financial information.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Fake Mobile Apps:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0The most dangerous type of fake apps is apps that contain malware. These apps can infect your smartphone with viruses and other malware that will work to get access to your personal information, account data, passwords, and more.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Social media scams:\u00a0<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">Scammers can hide behind phony profiles on social media, using ads and offers to market their scams. They can take over an account or trying to get money, personal information, or both.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Phishing emails:\u00a0<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">Phishing emails and text messages often tell a story to trick you into clicking on a link or opening an attachment. They may say<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span>\n<ul>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">they\u2019ve noticed some suspicious activity or log-in attempts<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">claim there\u2019s a problem with your account or your payment information<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">say you must confirm some personal information<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">include a fake invoice<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">want you to click on a link to make a payment<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">say you\u2019re eligible to register for a government refund<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<li><span style=\"font-style: inherit; font-weight: inherit;\">offer a coupon for free stuff<\/span><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/li>\n<\/ul>\n<\/li>\n<li><strong><span style=\"font-style: inherit; font-weight: inherit;\">Fake Initial Coin Offering (ICO):<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0Fraudulent ICOs and sketchy coins and tokens abound, but there are many ways to help ensure that you avoid these potential scams. One of the best ways to protect yourself is to thoroughly research the individual team members of a project before you invest.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">The\u00a0Federation Trade Commission\u00a0(FTC) published a report on crypto investment scams. The scams amounted to a loss of more than $50 million also investors belonging to the age group of 20 to 40.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><strong><span style=\"font-style: inherit; font-weight: inherit;\"><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-90374 alignnone\" style=\"font-weight: 400;\" src=\"https:\/\/blogs.quickheal.com\/wp-content\/uploads\/2021\/09\/crypto-270x300.png\" alt=\"\" width=\"270\" height=\"300\" srcset=\"https:\/\/www.quickheal.com\/blogs\/wp-content\/uploads\/2021\/09\/crypto-270x300.png 270w, https:\/\/www.quickheal.com\/blogs\/wp-content\/uploads\/2021\/09\/crypto-351x390.png 351w, https:\/\/www.quickheal.com\/blogs\/wp-content\/uploads\/2021\/09\/crypto.png 561w\" sizes=\"(max-width: 270px) 100vw, 270px\" \/><\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">Source: FEDERAL TRADE COMMISSION<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><br \/>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\">Scams Caused by\u00a0Viruses and Malware<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\">\u2002<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/h3>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">New strategies and creative attempts to breach into an investor\u2019s wallet can at times be tedious. The new ways to execute wallet breaches, hackers, and criminals resort to age-old malware and viruses to gain access to crypto wallets. For this reason alone, two-factor authentication and trusted Anti-virus like <a href=\"https:\/\/www.quickheal.co.in\/home-users\/quick-heal-total-security\">Quick Heal Total Security<\/a> can be a protective shield for crypto-wallets.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><br \/>\n<span style=\"font-style: inherit; font-weight: inherit;\">Modern malware that targets cryptocurrency users and investors can latch onto the user accounts to retrieve the user\u2019s online wallet balance, drain their account and replace their authentic address with that of the scammer.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">Apart from updating your <a href=\"https:\/\/www.quickheal.co.in\/\">Quick Heal antivirus<\/a> and system firewall, you need to make sure that you are visiting a secure and trustworthy platform that does not prompt auto-download of .exe files or ask you to download suspicious attachments.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><br \/>\n<span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<h3><strong><span style=\"font-style: inherit; font-weight: inherit;\">How Quick Heal protects you against such threats: <\/span><\/strong><strong><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/strong><\/h3>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">Our malware analysis team does continuous threat research against these scams leads to strengthens our product which indirectly secures our users.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<p><span style=\"font-style: inherit; font-weight: inherit;\">Some promising features Quick Heal provides:<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<p><strong><span style=\"font-style: inherit; font-weight: inherit;\">Web Security:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\"> First-level protection against online attacks like Phishing Protection, Browsing Protection, IDS\/IPS, Firewall, etc.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/p>\n<p><strong><span style=\"font-style: inherit; font-weight: inherit;\">ARW:<\/span><\/strong><span style=\"font-style: inherit; font-weight: inherit;\"> Anti-Ransomware feature\u00a0which protects against suspicious activities like Encryption, deletion, modification, etc.<\/span><span style=\"font-style: inherit; font-weight: inherit;\">\u00a0<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>What is Cryptocurrency?\u00a0 Cryptocurrency is a type of digital currency that generally only exists electronically. There is no physical coin or bill unless you use a service to cash in cryptocurrency for a physical token. You usually exchange cryptocurrency with someone online, with your phone or computer, without using an intermediary like a bank. Bitcoin [&hellip;]<\/p>\n","protected":false},"author":97,"featured_media":90417,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1867,1613,1739],"tags":[1868,1869,1870,719,1556,534,50,613],"class_list":["post-90373","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","category-cryptojacking","category-cybersecurity","tag-blockchain","tag-crypto","tag-cryptoscam","tag-bitcoin","tag-cryptocurrency","tag-cybersecurity","tag-ransomware","tag-scam"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/posts\/90373"}],"collection":[{"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/users\/97"}],"replies":[{"embeddable":true,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/comments?post=90373"}],"version-history":[{"count":8,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/posts\/90373\/revisions"}],"predecessor-version":[{"id":91437,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/posts\/90373\/revisions\/91437"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/media\/90417"}],"wp:attachment":[{"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/media?parent=90373"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/categories?post=90373"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.quickheal.com\/blogs\/wp-json\/wp\/v2\/tags?post=90373"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}