Crypto Scams 101: Protect Your Investments

Spotting Real Coins: Protect Yourself from Crypto Scams

The crypto market is filled with opportunities, but not all coins are created equal. Scams like pump-and-dump schemes and influencer-driven promotions are rampant. By understanding their tactics, you can avoid falling victim and make smarter investment decisions.

Influencers and Sh*tcoins

Not every coin gets hyped for its utility. Take Lil Pump tattooing “Solana” on his forehead—not for belief in the tech, but for a paycheck. Influencers often promote coins purely for financial gain, drawing buyers into pump-and-dump schemes while they cash out.

Why Established Coins Stand Out

Projects like Bitcoin and Ethereum never rely on paid promotions—they’re driven by real utility and community trust. In contrast, coins like Solana have been linked to scandals, like FTX founder Sam Bankman-Fried’s manipulation, which casts doubt on their integrity.

How Scams Work

Scammers prey on hype. They launch coins with limited liquidity, driving prices up artificially, then dump their holdings, leaving investors broke. These schemes happen daily and often involve bots and algorithms to manipulate the market.

Protect Yourself

Before investing, always:

• Research the team and their track record.

• Verify the project’s roadmap and community activity.

• Be skeptical of heavy promotion or influencer endorsements.

The Bottom Line

In the volatile world of crypto, diligence is key. Established projects with strong communities and proven utility are safer bets. Don’t be swayed by flashy marketing or celebrity endorsements—stick to fundamentals and make informed choices.