By Mark Ackman
Gifts Cards are one of the most common cryptocurrency frauds. Crypto gift cards are used by scammers to deceive people into buying them.
In return, scammers ask for their credit or debit card pin. The most common victim of gift card scams is those people who are ill-aware of the industry.
To access the cards, scammers offer crypto coins as a gift. For instance, scammers can create a fake websites. The websites that might offer currencies such as Bitcoin (BTC), Ether (ETH), and other altcoins at discounted rates.
After displaying the discount they ask users to give their card pins to them so they can purchase these currencies as a gift for users. In another use case, scammers offer users crypto rewards or prize money.
The most frequent ways for these scammers to reach the public are email and social media marketing. Through constant promotion and email exchange, they eventually manage to earn the investors’ trust.
How to Identify Crypto Gift Card Scams?
First and foremost identifying the crypto gift card scam or any other scam is not an easy nut to crack.
But if you are interested in cryptocurrency, you should look for a few signs, if these signs are present you might be the next victim.
The most apparent trick the scammer will try on you is offering lucrative returns higher than usual with no risk involvement.
If any such offer is being made to you it’s a red flag. Understand this, cryptocurrency is the most volatile market in nature. Hence, no one can make any such claims that one might get substantial returns without any risk.
When offering high returns and no risks, the second thing scammers will do is indirectly ask for your card’s pin. The third thing they will do is make you hurry and up to some extent force you to act before the offer is gone.
They will act urgently so people might not get the time to verify whether the offer is valid or not. So, those individuals who lack background knowledge of cryptocurrency trading might be trapped.
How to Remain Safe against Such Sort of Scam?
First and foremost, all dig deep and thoroughly research before making any such purchases offering gifts in the form of crypto.
Second, always take the time to validate the offer if someone is personally talking to you. Ask about which exchange he works for or the currency he is offering as a reward listen to how many exchanges.
The most important thing is, always to establish your account on a valid crypto exchange such as Binance, Coin Base, Kraken, etc.
Always transfer your money to your wallets through the proper banking channel. Avoid making any trade outside the legit crypto exchanges.
And the last thing, never share your confidential information with any second or third person.
What Should Be The Way Forward If You Are Trapped in Such Scam?
First thing first, if you have become the victim of any such incident, then there is no chance you can recover from the loss you have suffered.
But you can always end further financial drainage. Take the things in your hand, and immediately block your credit, debit, or card.
Transfer your money to another account that you haven’t shared with anyone. Secondly, it straightaway terminates your connection with such scammers.
After taking these necessary steps, you should contact relevant law enforcement authorities and share every detail with them. Only relevant authorities have the expertise to help you get your money back, if possible.
Finally, reach out to the crypto exchange and ask for their help. But, exchanges will only cover you for the loss you have suffered on their platform.
That is why, it is important that before entering the cryptocurrency market, you should thoroughly research or seek the help of a mentor.
Secondly, always validate the offer before blindly jumping into it. A careful approach is always better than regretting afterward.