Bitcoin, as a cryptocurrency, is a world leader. It was the first crypto to hit the scene and has retained its place as the king of cryptocurrencies ever since. It’s managed to have an impact on a global scale, with many countries and continents around the globe taking a keen interest. One of those is Africa, and while Bitcoin has provided some monumental benefits, there’s also some scams to be aware of too, as you’d expect.
One of the first scams, and one which not only affects Africa but the whole crypto world, concerns Bitcoin wallets. As a user of Bitcoin for whatever reason, be it investing, trading, business or something else, a Bitcoin wallet is needed. However, this has opened the door for scammers to devise their own wallets, which are effectively loaded with malware and other nasty things. The way to avoid becoming a victim is to ensure only a reputable wallet is used from trusted operator, such as the Luno, whose bitcoin wallet is one of the most secure in the business.
Over the years there have been examples of what are known as multi-level marketing scams where Bitcoin is concerned, with Mavrodi Mundial Moneybox and Nigerian Calabar Company prime examples. These scams, in general, work by offering Bitcoin users deals which seem too good to turn down, especially when it comes to turning a profit. Where Bitcoin, or most things in life, are concerned, it’s always wise to operate on a – if it seems too good to be true it probably is – basis.
Many schemes out there, be it like MMM or NCC, or relating to ICOs, will offer Bitcoin users incentives to get involved. It will often be the case that these things suggest those getting involved will turn a huge profit, often up to 200%, in a short space of time. While everyone would love this to be true, it will never be the case, so airing on the side of caution will always be advantageous, and it’s not just the scams people need to watch out for, it’s the scammers themselves too.
Africa is a global player where Bitcoin is concerned, with its growth surpassing that seen anywhere else, it means there are a lot of new users from Africa on the scene. As new users will be inexperienced and potentially in need of guidance when they’re just starting out, they may reach out to users on forums or elsewhere to help them get started.
This can, of course, prove to be a risky move too, as a lot of “experts” out there are indeed scammers themselves. Taking advantage of a new Bitcoin user’s inexperience and naivety is their MO, and this can often lead to a new user investing their Bitcoin, and swiftly losing it. A new user to the Bitcoin scene, regardless of their purpose for getting involved, should always put in the research beforehand, and they should always ensure they make their own decisions every time, and not under pressure from others.