If you follow either crypto or use Twitter at all, you’ve probably noticed some strange occurrences. Presidential candidate and former vice president, Joe Biden, tech billionaire Elon Musk, and even rapper and musician Kanye West have all asked for donations of Bitcoin. These solicitations are, however, the result of hacked accounts, with an estimated $100,000 USD lost to this scam. Despite the massive media coverage, these sorts of scams aren’t new. As Bitcoin, and other cryptocurrencies, increase in usage and popularity, these sorts of scams will only become more and more common. In this article, we’ll be giving you a few tips to protect yourself from a Bitcoin address scam.
Visit the Bitcoin Abuse Database
The crux of most Bitcoin address scams involve having people send Bitcoin to an address they provide, often offering some kind of incentive. More recently, these scammers offered a 2:1 reward for sending money to a particular Bitcoin address. To avoid getting duped, always check to see if the address mentioned has ever been reported for any sorts of fraud or abuse. One popular site for checking for this information, BitcoinAbuse.com, is a public database that records Bitcoin addresses that have been used by fraudsters and scammers. Just plug in the Bitcoin address of interest, and you’ll be able to discover if it’s been reported before. If you know a Bitcoin address is used for criminal activities, you can submit it to BitcoinAbuse.
If someone has reported the site you’ve searched for in the past, you’ll see a few things. The page that’ll come up for the address will tell you how many times others have reported this Bitcoin address in the past. As well as further information, such as the the date of the last report, number of transactions, and the total amount of Bitcoin received by this Bitcoin address. For example, regarding the Twitter hacking incident, BitcoinAbuse shows that the address used in that scam received nearly 13 BTC, and was reported over 77 times.
Make sure to check with Scam Alert
Much like BitcoinAbuse, Scam-Alert.io is another such site that will allow you to input a Bitcoin address, and receive an evaluation to its validity. If a Bitcoin address returns a history of fraudulent activity, a pop-up message will appear to warn the user and encourage not to send any money to the address. Scam Alert also provides useful information about the various scams and criminal activity that often take advantage of Bitcoin, such as Ponzi schemes and fake Bitcoin giveaways. Particularly popular these days are the use of fake identities, such as one presuming to be Elon Musk, which has raked in millions.
Bitcoin, and other cryptocurrencies, can be a very secure and convenient way to send and receive money. However, as with everything else related to money, a bit of prudence goes a long way in keeping your assets safe.
FAQs
Visit the Bitcoin Abuse Database
The crux of most Bitcoin address scams involve having people send Bitcoin to an address they provide, often offering some kind of incentive. More recently, these scammers offered a 2:1 reward for sending money to a particular Bitcoin address.
How do you know if someone is scamming you with Bitcoin? ›
Signs of crypto scams include poorly written white papers, excessive marketing pushes, and get-rich-quick claims. Regulatory agencies, such as your state's consumer protection office or the Consumer Protection Bureau, are the best places to contact if you suspect you've been the victim of a scam.
What happens if someone has my Bitcoin address? ›
If someone is aware of your wallet address, they can see how much money went in and out of your wallet, as well as how much it contains at the moment. Nobody is able to claim your assets by knowing your wallet address.
Can a Bitcoin scammer be tracked? ›
Blockchain ledgers that record cryptocurrency transactions use a unique address of numbers and letters to identify each user. The lack of personal details makes it extremely challenging, if not impossible, for victims of fraud to hunt down offenders alone in some cases.
Can someone hack you with your BTC address? ›
The concepts behind blockchain technology make it nearly impossible to hack into a blockchain. However, weaknesses outside of the blockchain create opportunities for thieves. Hackers can gain access to cryptocurrency owners' cryptocurrency wallets, exchange accounts, or the exchanges themselves.
Is it safe to give someone your Bitcoin wallet address? ›
Yes, sharing your wallet address publicly is safe, as it only allows others to send funds to your wallet. However, do not share your private keys or any other sensitive information.
Can you find out who someone is by their Bitcoin address? ›
You cannot find out who owns a bitcoin address unless somebody reveals it or attaches it to a name which can be recognized. The whole point of owning bitcoin is to not show to people what you own and what you are doing with your bitcoin.
Can you get your money back if scammed on Bitcoin? ›
Cryptocurrency payments typically are not reversible. Once you pay with cryptocurrency, you can only get your money back if the person you paid sends it back. But contact the company you used to send the money and tell them it was a fraudulent transaction.
How do I report a scammer to Bitcoin address? ›
Report the crime to your local police department. File a report with the FBI. Make sure to include your wallet address (the digital address where you store your cryptocurrency), the scammer's wallet address, and the transaction hash for each transaction.
Why would someone need my Bitcoin address? ›
Addresses are used for all typical bitcoin transactions occurring on the blockchain. They represent the destination for the bitcoin that is being moved. If you want to send bitcoin to someone else, they must provide you with an address.
Yes, bitcoin transactions are traceable. Each transaction is recorded on a permanent publicly available ledger known as the blockchain.
Can the police trace a Bitcoin wallet address? ›
By analyzing the blockchain, which is a decentralized ledger that records all transactions, investigators can trace the flow of funds and identify suspicious or illegal transactions. This process allows them to uncover criminal networks involved in money laundering, fraud, or other illicit activities.
What is the signs of a Bitcoin scammer? ›
Scammers impersonate new or established businesses offering fraudulent crypto coins or tokens. They'll say the company is entering the crypto world by issuing their own coin or token. They might create social media ads, news articles or a slick website to back it all up and trick people into buying.
How to track down someone who scammed you? ›
Contact details. Even fake names, accounts, and spoofed emails and phone numbers can help investigators track down scammers. Conversations. Take screenshots of texts and social media messages — especially anything that may help identify the scammer.
Can you recover Bitcoin from a scammer? ›
A crypto recovery firm can help retrieve lost or stolen crypto funds. They use their technical expertise and resources to track down and recover lost crypto assets.
Can someone be tracked through Bitcoin wallet address? ›
Can a Bitcoin Crypto Wallet Be Traced? Yes, you can trace crypto wallets via public transaction records on the blockchain, though identifying the actual owner may require additional information.
Can you do anything with a Bitcoin address? ›
A bitcoin address is an alphanumeric string used for receiving bitcoin to your wallet. You can think of it like an email address—anyone with one of your bitcoin addresses can send you bitcoin, just like anyone who has one of your email addresses can send you an email.
Can money be stolen from a bitcoin wallet? ›
Wallet Vulnerability Exploitation: Hackers target Bitcoin wallets with security flaws, sometimes storing private keys for convenience. Exploiting these vulnerabilities allows hackers to steal both access and funds in one go.
What happens if you send BTC to a fake address? ›
Cryptocurrency transactions are irreversible. They cannot be undone by anyone. The only possible solution here is to contact them if you know who that address belongs to. Should you not know who the address belongs to, unfortunately the crypto assets would be considered lost.
