Be careful! You might be swindled if you love Elon Musk or Dogecoin.
An alleged Twitter account belonging to Elon Musk is asking investors for bitcoin via the Dogecoin address.
The verified account, @elonlmusk, started tweeting earlier in the month. It has more than 15 000 followers. The user’s first tweet was:
“Dogecoin, bitcoin communities, we are happy to inform you that Elon accepted Dogecoin as his new venture. Merged mining is coming soon! @dogecoin “Doge”
Since then, the user asked people who are interested in investing in the ‘new venture’ to send money in Dogecoin directly to the wallet address.
Tweet: “If Tesla’s venture is appealing to you, please send your bitcoins to 1F1tAaz5x1HUXrCNLbtMDqcw6o5GNn4xqX. Or, if you prefer to use dogecoin send to DFyZ3ff33bB9M8Ec6Ec6Ec9iHVr5w2GQUcgH.”
The scammer who created this fake account didn’t convert Bitcoin and Dogecoin into fiat at the time of the reporting. He has managed to grab the coins that are worth a lot.
Dogecoin is working together to find the perpetrator of this fraud and ask Elon Musk to tweet about it. They also encourage everyone to refrain from contacting him for investment purposes.
Even outside of the cryptocurrency community, the scam was not unnoticed. @b4nced tweeted that “Elon Musk IS NOT on Twitter.” It’s illegal to impersonate him in order to give away cryptocurrency. You’re tampering with people who already trust you!
You have to ensure that you verify the authenticity and legitimacy of any user before you invest in their scams. To gain attention and make money, scammers often create verified accounts.
Even though some investors have been unable to take advantage of the current bear market in cryptocurrency markets, it is not impossible for them to see this asset class as the fastest way to make money in financial services.
Dogecoin’s popularity was due to its ability to quickly become a popular investor. Although this coin was born as a joke, it gained prominence thanks to the backing of Elon Musk, Tesla’s founder and billionaire.
The ‘meme currency’, as some call it, is making investors more vulnerable to scams than any other cryptocurrency.
Fake Elon Musk Twitter
Twitter revealed a fake account belonging to Elon Musk, SpaceX founder and Tesla founder. The scammer was able to trick the Dogecoin community and convince them to part with their hard-earned coins. The scammer claimed to be a verified account holder and promised to give 1 billion Dogecoins for bitcoin (BTC).
The scam was exposed when Elon Musk, the real Elon Musk, called Twitter to verify the authenticity of his account.
He had more than 15,000 followers and has since deleted his Twitter profile. According to several reports, he was able to convince some people to send him Dogecoins in return for BTCs. Unfortunately, he was unable to send anything back to these users.
It all began
Elon Musk posted last month that he loved Dogecoin, and would accept it as payment for his rocket-launching venture ‘SpaceX. Twitter users asked Elon Musk if Dogecoin could be used to pay for Tesla cars.
Dogecoin is my favorite — Elon Musk (@elonmusk), February 21, 2018, I love it
Then he replied, “Me too.” He then replied: “Maybe there will be Tesla Roadster hiding somewhere… who knows?”
Members of Dogecoin created artwork and memes to praise Musk, as well as send in response to the tweet.
Over the past few months, suspicious domain registrations for cryptocurrency exchanges and coins have risen to the top with Dogecoin surpassing Ethereum by 35 times in suspected fraudulent listing, according to BrandShield’s report.
Yoav Keren (co-founder and chief executive of BrandShield) stated that “it shouldn’t be surprising anyone that cybercriminals target retail investors with increasing frequency and sophistication through an array of fraud schemes.”
Despite the positive trend in cryptocurrency markets, it is important to remember that there are still many scam coins and ICOs.
YouToken, a crypro-project, promises to make its investors money online by investing their funds in different projects.
BrandShield’s analysis revealed that Dogecoin, whose price movements can be influenced mainly by Elon Musk tweets has seen an explosion in suspicious domain registrations in the past few months.
Impersonating Elon Musk is one unique way that crypto scammers can trick unsuspecting investors. According to the self-proclaimed “DogeFather”, there were more than 205 fake Facebook accounts created by him. He also used his name to scam individual investors on other social media platforms, such as Instagram, LinkedIn and VK, BrandShield.
Scammers often turn to crypto trading platforms. CoinBase and Binance saw a rise of 1,728 percent & 616 percent in suspicious domain registrations between August 2020 and now.
Binance is not a safe place for your money, but that’s me. These guys can easily pay “inspectors” for the amount they make each day. Scam exchanges are not new and they won’t disappear anytime soon.
After Konstantin Pysarenko, its founder, was arrested for “creating illegal financial Pyramid Schemes,” cryptocurrency project YouToken was revealed as a fraud.
This name is familiar to me because I was a victim of a similar scam called CoinStarter in 2017.
Konstantin Pysarenko, a fugitive who has posted photos of his home on Instagram (which oddly is still active)
Many people don’t know that YouToken was a pyramid scheme. It is therefore not surprising that the founder was eventually exposed. YouToken’s team was accused of participating in a variety of illegal activities such as promoting BitConnect, a cryptocurrency scam, and running an unregistered initial coins offering (ICO). This token was offered by its affiliate firm YTN COIN PTE Ltd.
This is a disturbing revelation that shows that even though something may seem legit, someone out there wants to profit from people’s hard-earned cash.
When you are looking at different projects, do your research before you invest. Don’t forget my complete list of cryptocurrency scams.
Last week, I decided that I would take a break from blogging for a few days to spend time with my family and friends at the beach. After several stressful weeks at work, it was a well-deserved break.
Keren stated that “not only are these social media companies responsible for addressing fraud on their platforms but also influencers, brands and cryptocurrencies have a duty protect their fans from fraud by cybercriminals looking at stealing millions from consumers in your name.”
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