Crypto Fraud: How Scams Work and How to Avoid Them

When you hear crypto fraud, a deliberate deception to steal cryptocurrency or trick users into giving up private keys. Also known as crypto scam, it’s not just about hacked wallets—it’s about manipulated trust. Every day, people lose money because they believe something that sounds too good to be true—and usually, it is.

Fake airdrop, a lure that promises free tokens but asks for your seed phrase or wallet access is one of the most common tricks. Look at CoPuppy (CP)—it claims to be on CoinMarketCap’s airdrop list, but CoinMarketCap doesn’t even list it. Then there’s HAI token, which got hacked and crashed 99%, but scammers still run ads saying "claim your HAI airdrop now." They’re not giving away tokens—they’re stealing them. DeFi scam, a protocol that looks like a yield farm but has no code audit, no real team, and vanishes after collecting funds is another big one. Rabbit Finance, KLend, and PandoLand all started with big promises and ended with zero users and empty wallets.

Crypto exchange shutdown, when a platform disappears overnight, taking user funds with it happens more than you think. Cashierest in Korea didn’t just fail—it vanished. No warnings. No refunds. Just silence. And when exchanges like that die, scammers pop up pretending to help you recover your funds—for a fee, of course. They know you’re desperate. That’s the whole game.

It’s not about being tech-savvy. It’s about asking one question: Why would they give me this for free? If someone’s handing out $8 in tokens just for signing up, why aren’t they rich already? If a token has $0 trading volume but a "limited-time airdrop," it’s not a chance—it’s a trap. Real projects don’t need to beg you to join. They grow because people use them.

You’ll see posts here about BDCC, CrossWallet CWT, WON, and LOCG airdrops—some real, some fake. You’ll read about exchanges that shut down, tokens that crashed, and protocols that never existed. This isn’t a list of warnings—it’s a map. It shows you how scams are built, who falls for them, and how to spot the same patterns before you get caught. No hype. No fluff. Just what actually happened—and how to keep it from happening to you.