Scamming is not a new thing in an online business, especially in the crypto space, many have loose their hard earn money to this callous set of human beings, 

Though every business involves risks, when taking a risk it must be a well-calculated one to have the desired result that is why adequate knowledge is required, these scammers ride on people’s ignorance and vulnerability.

While most of us are still studying how Cryptocurrency and Blockchain work, scammers have already found a million ways to make a profit by Scamming. Do you know how to spot scam crypto projects? Read on as I unveil tips to protect yourself from these wicked people 

In the year 2014, the World’s biggest crypto scam in history was launched called ONECOIN

OneCoin was fundamentally a Ponzi scheme disguised as a cryptocurrency. 

Founded by  Dr Ruja Ignatova(Cryptoqueen)

OneCoin was Launched in 2014, its promo materials positioned it as the next big cryptocurrency and a “better Bitcoin”. 

At its peak, it is believed to have had over 3 million members in 175 countries, bringing in between $4 billion and $19 billion for the founder and Cryptoqueen and her accomplices over a two-to-three-year period.


Dr Ruja’s monkey business(scam) was a success because she  quickly identified people’s weaknesses, which were covetousness, and greed and they exploited them since there was no adequate technical/blockchain knowledge then. 

In that era, Bitcoin was trading just above $500, Litecoin was still a top-five coin and basic crypto education wasn’t available as we have it now. 

So the wild gospel of riches for those that missed the Bitcoin boom (from 0 to over $500) was too tempting to ignore. According to estimates, the OneCoin scam was highly successful. Cointelegraph quotes sales revenues between $4.4 and $19.4 billion.

It’s not only one coin that was used to scam people we still have another crypto project that has left people in everlasting regret some have even lost their lives as a result of depression and debt, the likes of 

1. Squid Game token

2, Africrypt scam

And so on, the list endless.

Furthermore, talking about investment in cryptocurrency projects(coins token)

There are many factors to consider so as not to fall victim of a been a scam: 


This is one of the tactics crypto-token developers use to scam their investors, this usually occurs when the value of the crypto gradually reduces or valueless due to more selling pressures and this is possible when the token developer is holding a substantial  percentage of the whole crypto-token, once this is notice investing in such project is high risk



This occurs when an organization offers to allow you to rent a mining machine/hardware at a fixed amount, they will tell you the profit made will be divided between you and their organisation and also promise, that  there will be juicy cash for you when you refer people and  register under you on their platform, you will be making gain from their profit and even from their downlines respectively, after months the platform will crash and be lockout from accessing your  money again, you will just discover their website is down, some might even promise you to be giving free trading signals but it must be on their platform alone, 

NB: Many cloud mining companies are scams or, at best, ineffective – in that you end up losing money or earning less than want to be invested.


Every cryptocurrency should have a whitepaper since this is one of the most critical aspects of an initial coin offering. The whitepaper should explain how the cryptocurrency has been designed, how it will work and the problems it tends to solve. If the whitepaper is not genuine or you sense something fishy about it then take caution.


Liquidity is a representation of “money”, in a particular project,  it is what facilitates the ease of buying and selling of a particular crypto asset — without “liquidity in the market of particular token trading will not be possible. 

Liquidity is a  type of  Crypto scam that usually happens surprisingly. It occurs when the developer of a crypto token withdraws the liquid asset in the pool and then leaves the investors with valueless tokens

When this happens, the holders of the crypto token wouldn’t be able to sell their tokens to a liquid asset.

The liquidity is generated from the overall buy orders on that token; which will eventually make the price increase in price as well. Hence, when the developer wants to scam the investors, they will just remove the coin liquidity, 

So it might be a warning signal when the liquidity of a project is locked.


Scammers create fake cryptocurrency trading platforms or fake versions of official crypto wallets to extort  victims. These fake sites tend to have similar, but slightly different domain names from the legitimate ones, sometimes making it hard for users to tell. What’s worse, some of these copycat websites even appear in the first page on google search 

To make these fake sites appear more trustworthy, scammers often show you fake testimonials or trading records

These scam websites will even let you withdraw a small amount of money at first. Initially, after you have received your first deposits and a handful of seemingly successful investments, the sites seem legitimate.

However, as you watch their investments continue to grow, you’ll feel encouraged to invest more money. It is then that the scammers spring the trap. When you want to withdraw the earnings, the website either shuts down or declines the request. If you contact “customer service” for help, scammers might even ask you to send deposit money. Of course, you won’t retrieve even one cent.

In some other instances, the fake crypto websites are designed to be phishing pages — that is, all the credentials you enter will end up in scammers’ hands, including the password and recovery phrase of your crypto wallet and other financial details!

Tips to Protect Yourself

1, Take a closer look at the web address of the website. Is it legitimate?

Only download apps from official platforms like Google Play Store and Apple App Store.

2, If you observe any suspicious behaviour when updating a crypto wallet app, immediately terminate the update and uninstall the app.

To confirm the legitimacy of a crypto wallet app, the first time your transfer money, send only a small amount.

3,  Install a mobile Security application on your PC or Mobile phone to detect any website or application for Scammers. 

Some fake cryptocurrency site

1, – Fake ICO team / Stealing people’s identity

2, – Ponzi Scheme – ICO with a Fake team

3, – ICO with Fake Team; Using someone’s image with fake names etc.


Crypto scammers sometimes claim endorsements from celebrities, businesspeople, or influencers to capture the attention of potential targets. Sometimes, this involves selling phantom cryptocurrencies that don’t exist to novice investors. These scams can be sophisticated, involving glossy websites and brochures that appear to show celebrity endorsements

Celebrity scam.

As the crypto industry continues to grow, we will see more paid celebrity endorsements. It is proper to do your research and look for projects that have utility and a long-term strategic road map.


There are a plethora of lessons to be learnt from all the above-listed coins and the scam process generally, 

The technology behind the blockchain is one of the easiest to launch scam projects. In order not to fall victim to that, it is best to protect oneself. 

Before making any financial investment, research very well 

A simple Google search could be of help.

Secondly:  Do not trust coins that only work on their exchange, and are not listed on other major exchanges. Like Binance, Coinbase Exchange, FTX 



In conclusion, do not invest more than the amount you can afford to lose. Any scheme that proposes trading for you or that promises extraordinary returns in a short period is most likely a scam.

© Samuel Ogunmola

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