Cryptocurrencies are a hot topic right now in the investment world. The volatility of Bitcoin, Ethereum and Litecoin are making people a lot of money. The rollercoaster ride we experienced in just the last 3 months alone generated enough adrenaline to get even the most conservative of investors excited. And unfortunately it also invigorated every scam artist, fraudster and business folks with “good intentions, but poor execution” to come out of the wood work with new “opportunities.” They’re out to stake a claim and make as much money as possible from the new gold rush.
Really, when you stop and look at it all, it’s like the wild wild west in the cryptocurrency world. To date, we've already identified 90+ questionable, at best, “opportunities” that are herding in folks like cattle. There are a lot of people out there wandering around the crypto-wilderness without a map, hoping to strike it rich. Fact of the matter, there’s a lot of “fools gold” out there right now and a dozen or so new ones pop up each day.
Unfortunately, all of the sparkly opportunities that continue to show up only further damage the argument for a decentralized currency. Cryptocurrency as a whole appears to be in the middle of a huge gun fight as it continues to establish itself as a legitimate currency around the globe. Those who got in “early” and who are putting thousands into these scams won’t even know what happened by the time the smoke clears. And in the end, the legitimate coins will find themselves with the continued uphill battle of trying to legitimize themselves.
Check out the SEC’s guidelines on how to spot a cryptocurrency scam . Need assistance with looking into one of these “opportunities”? Have questions about due diligence? Let us know.
About the Author: Justin Recla is an Army veteran and former counterintelligence agent who successfully transitioned counterintelligence techniques into the business world. As a corporate counterintelligence consultant, he increases trust and certainty for his clients’ business relationships and founded the Clear Business DirectoryTM as a way to promote transparency in business-to-business transactions.