We have collected four typical scams to remind you that Bitcoin is just cash, and you should take care to use it as real money: Carefully.Most frauds and scams don’t happen because of the technology involved but rather due to the underlying greed and callousness on the part of the users.There is something about Bitcoin that attracts all kinds of scam artists and frauds.It even has the potential to turn secret service agents into thieves.In December 2015 ex-Secret Service agent Shaun Bridges was sentenced to nearly six years in prison after pleading guilty to money laundering and obstruction charges in connection with the theft of more than $820,000 in bitcoin from accounts connected to the Silk Road.Now the US government believes that he may have been involved with additional thefts from the now-defunct online dark market: "...the US had recently become aware of additional thefts of bitcoins from Secret Service accounts, the facts of which led the government to believe that Bridges, working with others, was also involved in these thefts."

US District Judge Richard Seeborg, who presided over the case, remarked that from what he could see, this crime had been motivated by greed.“No departure or variance is warranted in this case,” he said.litecoin history dataWhy Bitcoin attracts thugs?ethereum kursVery simply because of its very nature.bitcoin wechselnYou can remain anonymous while conducting Bitcoin transactions and there is no chargeback mechanism built into the virtual currency.bitcoin atm lawWe would like to emphasize here the word currency because it is akin to paying with cash.bitcoin als etfReversals and chargebacks are more talk of the plastic money domain.bitcoin bank vancouver

A study done by researchers at the Southern Methodist University in Texas, USA in January 2015 reveals a great deal about common Bitcoin scams and how people fall victim to them.The research was conducted by Marie Vasek and Tyler Moore and is titled There's No Free Lunch, Even Using Bitcoin: Tracking the Popularity and Profits of Virtual Currency Scams.The research revealed 41 scams that occurred between 2011 and 2014 in which 13,000 victims fell prey to fraudulent websites.The amount of money lost in this period was nearly a conservative USD 11 million.We looked at the findings of Marie Vasek and Tyler Moore and here are their key findings.The common element among all these scams though is greed and naivety on the part of the users: 1.Bitcoin Investment Programs: If it is too good to be true it probably is not goes the old adage and it is as true today as it was in the past.When people are promised higher yields on their deposits, they are often swayed by greed.You should be wary of wallets that offer returns if you keep money in them or if some investment program gives you way more returns than the prevalent market rates.

Bitcoin Mining Scams: A lot of mining operations are alleged to be scams but to narrow down the definition mining scams can be described as operations, which take a fee to mine Bitcoin on your behalf but never deliver.Cloud mining particularly has been in the eye of the storm.Researchers Moore and Vasek: “Active Mining and Ice Drill are operations that raised money to purportedly make ASICs and share the profits but never delivered. are fraudulent mining e-commerce websites.” 3.Bitcoin Wallet scams: Getting pickpocketed sucks but having your money vaporize under your very nose is brutal.The usual modus operandi of scam wallets is that the victim deposits Bitcoin into such a wallet and when it reaches a certain threshold; the money is transferred to the scamster’s wallet.In its analyses of fraudulent Bitcoin wallets, the report states that: “We were able to analyze three of these services (Onion Wallet, Easy Coin, and Bitcoinwallet.in), in which all transfers from the victims were ultimately delivered to the same address held by the scammer.

In fact, all three services appear to be operated by the same scammer, because the siphoning transfers all go directly to the same Bitcoin address.” 4.Bitcoin Exchange Scams: Exchanges are the point of entry into the Bitcoin universe and many victims of scams are attracted to lower exchange rates, promises of anonymity or offerings such as PayPal or Credit Card processing that other exchanges may not offer.Once the victim deposits payment for buying Bitcoin, they never actually receive their cryptocurrency leaving them high and dry.Most fraudulent exchanges seem to have a short life span.Phones Laptops Cameras Tablets Headphones Smartwatches VR Headsets This is my NextIt is a Ponzi Scheme/Scam/etc.- and why I am playing... Let me see if I get this straight..... A "currency" was created out of thin air and now people are spending hundreds of dollars each for one reason: the belief that some other fool will pay more for it later.Sounds like a perfect way to gamble a couple hundred dollars and see if this Ponzi Scheme takes off turning my couple hundred into a couple thousand (or more).Could I lose it?

But I am having a lot more fun than gambling a couple hundred on a casino boat.Still likely to lose my money but a whole lot better chance of walking away with more money.Plan on losing your money.But if I catch it just right, and get out JUST IN TIME, then I will benefit while the last ones in lose their money.It's a Ponzi Scheme and just remember that - and have fun.............. scam -- not backed by anything but faith A real national currency, if not backed by gold silver, is backed by the economy and military might and legal system of the issuer.This is backed by nothing, but "faith".And also looking at the various exchanges there is a large gap, for example on one exchange now the bid/asked ( in $) is 115.5by 115.8, and on another it is 113.3.. By 113.3..--a potential instant profit on arbitrage--what is that all about??This is an INCREDIBLE scam.The difficulty with Bitcoin is the production of Bitcoins, which are unregulated and not transparent to the world.There is nothing to prevent a sudden surge in Bitcoins being dumped by a creator, a major cash-in, and anyone who pays in legal fiat will be left with nothing.

Yes, it is So what makes it better than any other real world currencies?So everyone runs around crazy waving their hands that USD is dying (it will eventually collapse at some point, or other huge implications will happen), but bitcoin is the same, it can be destroyed by the same problems a real world currency can be, its highly volatile and isn't backed by anything (alas usd is not either).Besides, you can always hear how the first ppl that started with it very early had some real gains.Sounds pretty much like a pyramid scheme/scam.And remember people - think for yourself - did the original creators really wanted to "make the world a better place" or "offer an alternative to fiat currencies to help people" or just to make money.For me - well it might not be 100% scam, but it will probably fail anyway as a bad business project.Doesn't add up... Unregulated and without any fundamental value!Consider this an entirely invented medium of exchange that has not basis in fundamental value or agreed and recognised unit of exchange.

It is an unregulated finite supply of nothing, artificially inflated to exploit unsuspecting persons.The only persons who win are he early inflators who get out leaving a void of nothing while the unsuspecting persons are left with literally nothing.You lose more than you can get All this bitcoin is a big scam, you support the network with hardware, time and electricity to process the transactions but eventually you give way more than you get!The only people who benefit from this currency are the initiators and the people causing the inflation, its a smart scam, a digital one.the latest nonsense, defended by the parochially "knowledgeable" There is no supporting, stable (= governmental) infrastructure.Security depends upon software deployed on readily hacked Microsoft Windows platforms.Security depends upon continual re-verification of transaction logs that can be forged and destroyed."Money" has value because an entity with control over the economic behavior of millions or billions of people--and with governance over trillions or quadrillions of dollars--is willing to back it.