“Crypto” is certainly a financial buzzword these days. But what IS cryptocurrency, exactly? What should you be on the lookout for? These are questions we aim to answer with this blog, for International Fraud Awareness Month.
We’ll lay out the truth about crypto and arm you with all the knowledge necessary to avoid crypto fraud, should you choose to invest.
According to the Federal Trade Commission, cryptocurrency is “a type of digital currency that generally exists only electronically. You usually use your phone, computer, or a cryptocurrency ATM to buy cryptocurrency.” Bitcoin is the most well-known type of cryptocurrency, but there are many other kinds, and new ones continue to be created.
Even though crypto has been a hot investment for a while now, there’s still quite a bit of mystery surrounding it, and scammers are ready and waiting to take advantage of that. Crypto scams are particularly bad because the digital currency isn’t subject to regulations or government oversight, and once a crypto transaction occurs it cannot be undone. Another thing to remember is that cryptocurrency values fluctuate all the time due to a variety of factors.
If you come across or fall victim to cryptocurrency fraud, it’s important to report it. Here’s what you can do. Report fraud and other suspicious activity involving cryptocurrency to:
PSECU works hard every day to keep your money safe. This year, for International Fraud Week, we are joining others who seek to minimize the impact of fraud by promoting anti-fraud awareness and education. We’re focusing on cryptocurrency fraud to help demystify this emerging currency and help you avoid scams and fraud.