Weird and Whacky World of Crypto

Weird and Whacky World of Crypto

We're almost at the end of the first quarter of 2023 and the Crypto world hasn't disappointed with more of the same scams, dodgy operators and missing funds. Whilst the sector lacks regulation it is investor beware but as we're coming to find out, investors continue to be unaware as they throw their hard earned dollars at risky investments hoping for a retirement.

We're going to take a look at a few of the most recent reports in the hopes that we can raise some awareness about online safety especially if it involved your hard earns dollars!

Missing Millions

Last year Crypto.com mistakenly sent over $10 Million to a user it was supposed to refund $100 too. Instead of returning the funds the account holder decided to go on a spending spree which all came crashing to a halt when Crypto.com pursued the user in the courts to reclaim the over payment.

The user splurged on property, car, art, sending millions to offshore bank accounts and even gifting $1 Million to a friend. $7.3 Million of the funds have been recovered with more still unaccounted for in offshore bank accounts but work is underway to retrieve the funds.

A spending spree I bet the user now regrets.

Fake XRP

In one of the most elaborate scams probably known to date Hackers took control of India's News24 account to promote a fake XRP scam. The scam involved promoting phishing links to fake XRP airdrops and utilised images of XRP CEO's image.

It isn't the first time this has happened with India's Prime Minister's official twitter account being compromised with false Crypto links posted scamming millions from unsuspecting citizens.

The nation has struggled to maintain control of the situation and continues to struggle with emerging hacks of this nature targeting government agencies and officials.

iEarn scam

In what could be potentially one of the largest scams to have taken place to date is the scam involving iEarn a trading app that just disappeared. Hundreds of users were duped into believing that iEarn was their own personal trading AI bot that undertook trades and arbitrage for them leaving the hard work out of trading.

Unfortunately the site eventually went down for maintenance only to never be brought back leaving hundreds of users and millions of dollars disappearing into thin air.

The AI bot app hosted pictures and showcased how each account was growing in value daily which kept users depositing more and more money into their accounts.

In another example of too good to be true, investors were taken for another ride.

These examples provide a wonderful experience of the dangers involved in investing in crypto currency and what is out there. You must do your due diligence and be mindful that this sector very much requires you to be hypder vigilant when engaging.

image sources provided supplemented by Canva Pro subscription. This is not financial advice and readers are advised to undertake their own research or seek professional financial services.

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