WHAT YOU SHOULD KNOW BEFORE JOINING A CRYPTO TRADING POOL OR INVESTMENT SERVICE
Are you a newbie in the crypto world? Or are you curious about how to spot crypto scams? Scams in the crypto space are so many and always designed to attract the less privileged. We are going to take a look at how to spot these crypto fraud trading pools. Which are always design in the form of multi-level marketing (MLM) and operate a pyramid or Ponzi scheme. Scams have stirred many people to invest in the industry. This is because most young people yearning to make passive income are always caught up with their little capital wanting to grow it fast as possible. It is a no brainer, we all want to ride in a boat of our choice. This post is intended to outline how to quickly review a crypto investment service.
We will keep it short and go strength to the point so you can understand. Spotting an investment scam is a multi-task because some bloggers are in favour, some investors giving their testimonies, Scammers review and advertise their own scam programs. This makes it difficult to understand which one is correct. In this case, you are the only one to make a final decision. These are the first elements you may want to know first: Product, CEO, and Team, Address, Social Media Engagement, Regulatory Body. When you have found this necessary information, verify them before proceeding. But how can you verify these elements considering you are a newbie? Let us ride on.
1. Product and Regulation
An investor will always be curious about the type of product the company is offering to the public. In the case of crypto trading platforms, it is always related to trading your coins with that of other investors using some sort of AI, to arbitrage on different exchanges. Yes we know, we can make profits from price difference in different exchanges. Let us believe they are trading, how can we then verify? A fully recognised regulatory service is the only means you can verify, given you are browsing their site from another part of the world. For example, the financial conduct authority (FCA) is there to help investors and provide information about investment platforms. If you can not find regulatory information about any cryptoasset investment service, do not proceed when such information is lacking. The Financial Conduct Authority quotes,
''If you’ve invested in unregulated cryptoassets, you may not have access to the Financial Ombudsman Service or the Financial Services Compensation Scheme and you’re unlikely to get your money back.
If you have already invested in a scam, fraudsters are likely to target you again or sell your details to other criminals.
The follow-up scam may be completely separate or related to the previous fraud, such as an offer to get your money back or to buy back the investment after you pay a fee.
If you have any concerns at all about a potential scam, contact us immediately.''
Did you just read them affirming legality? This is the only means you are legally covered up in case of any liquidation. Well, this is not a guarantee you will recover your invested capital. Keep in mind there are a handful of regulatory services in different parts of the world. Always take their warnings seriously, such as FCA warns consumers about unauthorised forex investment xchloesworld, because these are experts in the financial service.
2. CEO and Team
A CEO with a good reputation will attract investors, people are always looking up to successful men out there. Because a good and transparent team can turn an awkward idea to a profitable one. A good a team is always out to deliver a good product, if the idea is not realistic at the moment, the will work hard to improve and satisfy their customers. Always note if they are publicly verifiable people. On the contrary, stirred away from a team you can not trust. A team that prefers to be anonymous.
3. Address
The road to one's house is always having an address. A website address in this case is the physical environment where the company is based. Twitter's address is given as, Twitter, Inc. 1355 Market Street, Suite 900 San Francisco, CA 94103. To easily search a website's physical address, use a tool called WhoIs lockup, I use it to track site addresses and it gives you data about where the site is registered and either registered anonymous too. WhoIs lockup data for this website petronpay.com.
Domain Name: petronpay.comRegistry Domain ID: 2469080855_DOMAIN_COM-VRSNRegistrar WHOIS Server: whois.godaddy.comRegistrar URL: http://www.godaddy.comUpdated Date: 2020-09-17T22:38:20ZCreation Date: 2019-12-19T16:46:26ZRegistrar Registration Expiration Date: 2022-12-19T16:46:26ZRegistrar: GoDaddy.com, LLCRegistrar IANA ID: 146Registrar Abuse Contact Email: @godaddy.comRegistrar Abuse Contact Phone: +1.4806242505Domain Status: clientTransferProhibited http://www.icann.org/epp#clientTransferProhibitedDomain Status: clientUpdateProhibited http://www.icann.org/epp#clientUpdateProhibitedDomain Status: clientRenewProhibited http://www.icann.org/epp#clientRenewProhibitedDomain Status: clientDeleteProhibited http://www.icann.org/epp#clientDeleteProhibitedRegistry Registrant ID: Not Available From RegistryRegistrant Name: Registration PrivateRegistrant Organization: Domains By Proxy, LLCRegistrant Street: DomainsByProxy.comRegistrant Street: 14455 N. Hayden RoadRegistrant City: ScottsdaleRegistrant State/Province: ArizonaRegistrant Postal Code: 85260Registrant Country: US ?Registrant Phone: +1.4806242599Registrant Phone Ext: Registrant Fax: +1.4806242598Registrant Fax Ext: Registrant Email: @domainsbyproxy.comRegistry Admin ID: Not Available From RegistryAdmin Name: Registration PrivateAdmin Organization: Domains By Proxy, LLCAdmin Street: DomainsByProxy.comAdmin Street: 14455 N. Hayden RoadAdmin City: ScottsdaleAdmin State/Province: ArizonaAdmin Postal Code: 85260Admin Country: USAdmin Phone: +1.4806242599Admin Phone Ext: Admin Fax: +1.4806242598Admin Fax Ext: Admin Email: @domainsbyproxy.comRegistry Tech ID: Not Available From RegistryTech Name: Registration PrivateTech Organization: Domains By Proxy, LLCTech Street: DomainsByProxy.comTech Street: 14455 N. Hayden RoadTech City: ScottsdaleTech State/Province: ArizonaTech Postal Code: 85260Tech Country: USTech Phone: +1.4806242599Tech Phone Ext: Tech Fax: +1.4806242598Tech Fax Ext: Tech Email: @domainsbyproxy.comName Server: ALEX.NS.CLOUDFLARE.COMName Server: HOPE.NS.CLOUDFLARE.COMDNSSEC: unsignedURL of the ICANN WHOIS Data Problem Reporting System: http://wdprs.internic.net/>>> Last update of WHOIS database: 2021-01-11T09:00:00Z <<<
Here is the address on petronpay.com's website, Airgate Business Center - Thurgauerstrasse 40, 8050, Zurich - Switzerland whereas the website is registered in the US. This is already securities traded fraud.
3.Social Media Engagement
Social media platforms are very important for any online platform. Participant in the platform can actively participate through one medium and have updates about their project or for any investment service. If crypto investment services avoid actively engaging with their customers on social media, that is already a red flag. Petronpay is only on youtube and Instagram, the implication here is to share their videos and even disable comments. Head over to ask redit or forums, bitcointalk is likely one of the best to find more about crypto-related investment services.
Keep in mind that you take the sole responsibility of investing your hard earn money in any crypto investment schemes. Nothing in the well is free and nothing good comes easy. So always make your own due diligence. I wish you the best on your online adventure.
Thank you for reading, liking and tipping, I hope I could provide some helpful information and would you like this blog to review crypto investment platforms like the one listed above to create awareness?. Until next time.
