Common Crypto Scams and How to Spot Them

If you're in crypto, someone will try to scam you. This is a fact. Here are the most common scams and how to avoid them.

🚨 Golden Rule

No legitimate person or company will ever ask for your seed phrase, private key, or ask you to "verify" your wallet by connecting to a website. Ever.

Scam #1: Fake Airdrops / "Free Token" Scams

You receive a random token in your wallet, then visit the token's website to "claim" more. Connecting your wallet to that site gives them access to drain your funds.

✅ Protection: Ignore random tokens. Never visit a website linked from a random token's contract.

Scam #2: Phishing Websites

You get an email or DM: "Your Binance account is suspended, click here to verify." The link goes to binance.com (with a subtle typo), which looks exactly like the real site.

✅ Protection: Always type URLs manually. Use bookmarks. Enable anti-phishing codes on exchanges.

Scam #3: "Support" DMs on Telegram / Discord

Someone DMs you claiming to be "official support" and asks for your seed phrase to "verify your wallet." This is 100% a scam. Real support never DMs first.

✅ Protection: Never share your seed phrase with anyone. Block anyone who DMs you first.

Scam #4: Rug Pulls (in DeFi and NFTs)

Developers create a token or NFT project, hype it up, then "pull the rug" — they drain the liquidity pool and disappear with everyone's money.

Red Flags to Watch For:

Anonymous team with no doxxed identity
Liquidity is NOT locked (check on Uniswap info page)
Promises of "guaranteed 100x returns"
High-pressure tactics ("only 2 hours left!")

Scam #5: Pig Butchering (恋爱杀猪盘)

A long-con scam where the attacker builds a romantic or friendship relationship with you over weeks/months, then convinces you to "invest together" in a fake crypto platform. The platform shows fake profits until you try to withdraw — then they ghost.

✅ Protection: Never invest in a platform someone else introduced you to via dating apps or social media. Only use well-known exchanges.

Scam #6: Fake Hardware Wallets

Buying a used or fake Ledger/Trezor from eBay or a third-party seller. The device arrives pre-configured with a seed phrase that the scammer also has — as soon as you deposit, they drain it.

✅ Protection: Only buy hardware wallets from the official website. If the device shows a pre-generated seed phrase, return it immediately.

A Security Checklist You Can Actually Follow

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Bookmark exchange URLs and only use those bookmarks

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Never share your seed phrase — not even with "support"

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Use a hardware wallet for any amount >$1,000

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Verify smart contract addresses before approving tokens

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Be skeptical of "too good to be true" APYs (>20%)

The Bottom Line

In crypto, you are your own bank. That means you also bear 100% of the responsibility for your security. If something feels off, it probably is. When in doubt, do nothing.