Home › How to Identify Cryptocurrency Investment Scams? Common Tactics and Self-Protection
Cryptocurrency Investment Scams: Identify Tactics and Protect Yourself
Last updated: 2026-07-08
Bottom line: The core of crypto scams is "transferring coins to a place you can't control." If someone asks you to transfer coins to their designated platform, wallet, or address and promises high returns, be highly alert.
📍 This site's content is Taiwan-specific: the 165 anti-fraud hotline, 110, Taiwan's Financial Supervisory Commission (FSC), Taiwan's official company registry and Taiwan's 8-digit Unified Business Number, and PTT/Dcard are all Taiwanese agencies, numbers, and platforms. Scam identification methods are universal; if you are not in Taiwan, please contact your local police and financial regulator for verification and reporting.
Common Tactics
Fake Exchanges / Fake Apps The interface shows numbers constantly rising, but withdrawal is blocked.
Teacher leads coin buying Group guides you to buy specific coins or enter a designated platform.
Fake customer service / fake wallet Tricks you into revealing your seed phrase or private key, giving away all your assets.
Pig butchering leading to crypto After building a relationship, lures you into investing with USDT.
Self-protection before transfer
Never give your seed phrase or private key to anyone – legitimate platforms and customer service will never ask for them. Only use reputable, compliant exchanges, and test with a small amount before withdrawing. Be skeptical of any crypto project that promises guaranteed profits.
What to do if scammed
On-chain transfers are almost irreversible, but you should still: save the transaction hash (TxID) and the recipient’s address, call 165, file a police report, and notify the exchange you used to help flag/freeze the assets. Act as quickly as possible.
Someone is asking for my wallet seed phrase. Is it safe?
Absolutely do not give it. Your seed phrase/private key is the key to your assets. Anyone asking for it, including 'official customer service,' is a scammer.
Is it useful to report a crypto scam to the police?
You should still file a report and keep the TxID and the scammer’s address. Although recovery is difficult, reporting and notifying the exchange can help flag suspicious addresses and prevent future victims.
⚠️ Disclaimer: This site provides anti-fraud educational public interest information, does not constitute investment advice, and does not guarantee completeness or timeliness of any information. Public data is for cross-reference only and cannot independently determine the quality of targets. Please refer to official sources (165 Taiwan's anti-fraud hotline, Taiwan's Financial Supervisory Commission, Ministry of Economic Affairs, National Police Agency). Investment and trading decisions should be carefully evaluated by yourself and borne at your own risk.
