Cryptocurrency: Deposits with No Returns
Cryptocurrency is not a topic that many people know about or understand. Crypto, such as bitcoin and Ether, is a type of digital currency that in most cases exists only electronically in a digital wallet. You are able to buy it using your device, computer or a cryptocurrency ATM. But why would you? People buy it as an investment, to quickly pay for things and to avoid transaction fees that a traditional bank would charge. Another advantage of paying with crypto is because it offers some degree of anonymity. Crypto can also be earned through a complicated process called mining.
Scammers are banking on the fact that the general population doesn’t know much about this topic and crypto-related scams are popping up quickly. The Federal Trade Commission offers several tips on how you can avoid such a scam:
– Don’t trust companies who make big promises or guarantees. Only scammers guarantee big money in crypto with no risk.
– Do your homework. Research the company or specific type of crypto platform by using search engine terms such as “scam,” “complaint,” “review” and “news.”
– Understand that crypto accounts are NOT backed by the government like traditional Federal Deposit Insurance Corporation (FDIC) bank accounts are.
– Learn as much as you can about cryptocurrency and scams so you can recognize the red flags when they pop up.
Guard Well Identity Theft Solutions exists to provide you, your family, and your employees from the damages of identity theft. If you have any questions or concerns, please contact our Member Services team immediately. We are always available for you 24/7/365 at 888.966.4827 (GUARD).
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