I would like to start off by saying I did not want my first post to be this. I wanted it to be more of an introduction to who I am as a writer or maybe my writer’s journey. But outside of writing one of the things I like to do is look at investment opportunities. Now I want to start off and say I do not think Bitcoin or crypto is a scam. BUT I do feel it can be exploited to scam people out of thousands easier than any other method out there.
What I am going to give you in this story is my conversation with a scammer, I will give you their lingo, how to spot the scam, and what to do.
Why am I am making this article? I am doing this because I know many people that have fallen victim to this scam and I felt that making an article is the best way to help.
Please do your part and share this with as many people as you can to protect them from what I am about to show you.
I was sitting at home and my wife was on a “mommy” page where mothers give each other encouragement for all the tough times life throws at them. Ever since Covid there has been way more chatter on the forum and because of this scammers key into these kinds of groups. A scammer then made a post that said the following.
“With the minimum of $200 I guarantee you of $800 daily, also with $500 I guarantee you of $1800 to your bank account”
Firstly, RED FLAG. How can they make 400% back daily on a $200 investment BUT only get 360% for a $500 investment. My best guess is the path of least resistance most people will give $200 where $500 is a bit more. I also feel that no one is going to do the math and they know that $1800 is less profit than $800.
The other issue is the “daily”. No investment on earth can have that big of a yield daily. Maybe you are lucky and be up by 400% from your original investment but not everyday you are 400% up from the day before.
That would mean in just 1 week if you reinvested the original $200 + the profits you would have $3,276,800.
I mean come on, and they said all they want is 10% of your profits as a “fee”. I mean this is way too good to be true.
This is where I want to pause the story to give some context of investing. It has been stated that a good stock portfolio can yield 7% year over year and a savings account can do 2% (if you are lucky). So the idea of making this much money in seven days seems beyond the point of reason.
With that being said lets move to Act 2
If you are paying attention you would notice that I didn’t make any talks yet about Bitcoin because in the first part of the scam they want you excited and until you are hooked they won’t pull out the Bitcoin card. I find most are confused by crypto and starting off with trading Bitcoin most would ignore the post all together.
Welp that is about to change because we are about to go full Bitcoin.
So I asked this “broker” how could I get into this high returns market. She then tells me to go to her website (I won’t publish the URL because these guys change names so quickly it wouldn’t help). I go to the website and it asks for basic information. First Name, Last Name, Age, E-Mail Address, and Password
Now it’s time for another RED FLAG. If you are opening ANY type of account that involves money. They will need to see a picture ID and social to open an account. I have opened up brokerage accounts at Webull, Crypto, Coinbase, Kucoin, Robinhood, Etrade and Fidelity.
NOT A SINGLE ONE OF THEM LET ME SIGN UP WITH JUST MY NAME.
(Also there shouldn’t be a fee to open the account unless you are dealing with a money manager. But that has nothing to do with this story. I just wanted to put that out there in case you were wondering.)
So I went to one of my favorite self-destructing email services. (this is a service that makes a temporary email account that normally is deleted in 24hrs perfect for when you are talking to scammers). I put in the info and hit send. The person on the other end never confirmed that they got my sign up form.
On top of that I NEVER GOT A EMAIL CONFIRMING MY ACCOUNT ON THEIR SITE!
I then asked a simple question.
“When will I get my username and password for the site?”
To that they replied.
“You need to fund the account before we can open the account.”
Now let’s pause right here to show you what is going on. I was told I can give them $200 and make back 400% a day. All I have to do is go to their website and sign up for an account. I never got any information on this account (no routing number or account number), but somehow I have to fund this account?
From there I asked the next question: how will I be making this money.
“So how will I take my $200 to $800 is there a class? Or an investment strategy.”
Here is where things take a twist. She said.
“You will convert your money into Bitcoin and fund your account with it. From there we will diversify it by using binary options, fortex, stocks, and crypto to give you $800 a day.”
Just so you know once you convert your money into crypto the government can no longer track the comings and goings of your money. In fact I want to say this is the workaround to “wire fraud”. I only say this because once YOU convert YOUR money to crypto the bank can not tell where it went, so a case for wire fraud would be hard to make.
(Also I would like to add at only $200 you can’t split money that thin and get back $800 return. But you knew that already.)
So the next part of the scam does take a while. They are going to ask you to sign up to a legit crypto site. Normally not one that is in the United States. This time around it was Crypto.com (which is based out of Switzerland where the banking laws are more loose than American banks)
This process can take up to an hour, then there is an approval process. So to fast forward from all of that to the next part. You can fund your account with a wire transfer but that takes too long. So they will tell you to use a credit card which is a feature of crypto.com that way you can fund the account instantly vs waiting for a wire transfer.
Once the money is there they are going to want you to take screenshots of your account on crypto.com this is to help them “guide you” to the right screens. When in reality they are just checking to make sure the money you said you had is in the account.
Now it is time for a payoff when you give them all of your hard earned money and never see them again. Here is how this works: when you transfer crypto it has to be like for like. So you CAN NOT transfer between two platforms and send Bitcoin to DogeCoin if you do that YOUR MONEY IS LOST FOREVER and the scammers know that. Which is why you are sending screenshots as they walk you through setting up the transfer. That way they can make sure you did it right so they can get their funds.
Once they confirm you are on the right area of the site to transfer the funds they will give you their “Wallet ID” to send over the money.
(it would look something like the example below)
***WmWBcarYe6RMMieWyB7hpPfgq18fpLi <- the account the scammers used less 3 digits.
Once you put it in and hit send that’s it your money is GONE! It will leave your account and get placed on the Bitcoin network where it takes less than 30 minutes for them to receive the money. From there they will block you on social media and there is no way to get the money back.
Why did I write this? Well I don’t like scammers and I don’t like people trying to take investment tools like Bitcoin, and options trading and making it into a way to take money from hard worker people. At the time of this post this scammer took over 720k from people. Which is horrible when you think about it. From the comfort of their own home they were able to scam thousands.
The point of this article is to help someone out there who might be in the middle of this scam, and they do a quick google search and find this article or that you the reader share this article with others so they can beat the scammers.
So what can you do when you see these kinda scam? You can report it to social media or the forum managers. They should work fast to find the person and ban them. The person in this story posted on 59 groups before I contacted them, and it took less than 5 days for FB to delete their account.
In the end I am pro crypto and pro stock market but ANTI SCAM!
—I am Odian The Writer not Odian The Editor any errors will be corrected in due time—