Bitcoin Scams: The Scary Reality of Crypto Scams on Instagram

By Mehab Qureshi

Twenty-five-year-old Preksha Kasbe, a student based in Pune, woke up to a DM (direct message) on Instagram from her friend Sonali, whom she knew from school. Excitedly, she answered her message while chatting about life in general like friends do. “But then Sonali switched the conversation to crypto investing and how it completely changed her life,” Kasbe said.

Intrigued by the investment advice and the eagerness to make a quick buck, Kasbe inquired about the lucrative deal. “She (Sonali) said it’s quite easy. You just need to change your email address associated with your Instagram to an email address that she (Sonali) sent,” she shared.

Things took a turn for the worse as soon as the email address was changed. Kasbe’s account was hacked and started posting fake screenshots on her profile about how she (Kasbe) got rich after getting investment advice from Anna (the alleged crypto scammer). The hacker even started posting her photos with fake bank statements tricking her followers into investing their money in a scam token. When he called Sonali, Kasbe understood that his friend’s account was also hacked. “This seems like a chain reaction of fraud,” Kasbe added.

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Vivan D’Souza, 27, a Jaipur-based stock market trader had a different story to tell. Like Kasbe, he also received a message on Instagram, but from a self-proclaimed crypto trading expert, asking him to invest in Binance, which is a popular crypto exchange.

“After several days of conversation, I decided to invest in a new token listed on Binance, but the catch was the link the scammer sent was not from Binance, but from a fake crypto exchange posing as Binance,” D’ Souza said. He lost Rs 10,000 and never got crypto in his wallet.

Cryptocurrency scams on Instagram are a new rage. These come with the promise of free tokens or secret insider tips on how to get rich quick from Bitcoin or another altcoin. While many of these are just ridiculous attempts to get your personal information to steal personal identity and data, some are more convincing than others. But one that stands out is the Bitcoin giveaway scam. The premise is simple: an account promises to give you a certain amount of Bitcoin if you send them a small amount as a fee to claim the ‘free’ cryptocurrency.

Scammers often use stolen photos to make their accounts look legitimate. Worryingly, while most legitimate exchanges and wallets do not have a presence on Instagram, scammers have started creating fake accounts to trick people into falling for their schemes.

Unfortunately, there is no surefire way to avoid being scammed on Instagram. However, you can do a few things to increase your chances of avoiding the situation outlined. First and foremost, be sure to double-check any posted information to make sure it’s legitimate.

“It’s important to remember that anyone can fall for an Instagram scam – even the most tech-savvy people fall for scams, and anyone can be scammed. In fact, those who fall for scams most often tend to be younger people who don’t are just as savvy when it comes to spotting scams. Finally, don’t be afraid to report scammers and suspicious accounts on Instagram. You can do this by tapping the “three dots” icon on their posts or profile and selecting “Report “, said Sourajeet Majumber, a cyber security expert.

Another thing to be wary of are fake accounts that repost actual posts made by legitimate businesses. Many of these are created by bots that collect likes and comments from fake accounts. If you see an ad promoting an ICO, Bitcoin or any other cryptocurrency, do not click on it. Most of these ads are created with the sole purpose of tricking you into providing personal information, and clicking on them will only lead you to malicious websites that can steal your data.

Ultimately, the best way to avoid falling for a scam is to search for legitimate sources and verify the information you read. When it comes to cryptocurrency, it’s important to know how it works, how to invest in it, and how to keep your money safe. Furthermore, sticking to verified news sources and publications – especially when it comes to investing in crypto – can help you avoid falling victim to a scam.

NEW THREAT
Crypto scammers hijack Instagram accounts
Do not change your email account associated with Instagram
Scammers often use stolen photos to make their accounts look legitimate
Be vigilant and always do your research