The perceived anonymity on the blockchain, however, is a double-edged sword. On the one hand, not having to disclose who you are can help you keep your information private. On the other hand, bitcoin scams can flourish on the blockchain because of the lack of transparency in bitcoin transactions.
The lack of regulation, at least at this point, on the blockchain extends to companies that operate on it. Many of them ignore the need for licenses, even if they are brokers providing financial services that require government oversight. This lack of licensing should be a red flag.
Bitcoin scams, like other types of fraud, don’t like to let people go once they have potential targets. They will keep contacting you to the point where this is annoying. Real businesses don’t operate this way.
Another sign of a bitcoin scam is misleading claims. If they are offering trading or mining services, they may insist that you’ll see double-digit returns monthly. This isn’t realistic and you shouldn’t trust anyone who makes this kind of offer.
If someone asks you for bitcoin wallet keys or codes, they may be a bitcoin scam. It may be a person you think you know on Facebook or a crypto broker. No one should ask for your codes or keys.
If you have purchased something or made a deposit in a brokerage account and never hear anything more from them, chances are they made off with your funds. You should speak to bitcoin recovery experts immediately. It’s not acceptable to simply pay and not hear back from the recipient.