Among the risks of new technologies are those of losing money, both legitimately and illegitimately. WaPo covers the latter in relation to cryptocurrency, and how today’s communications technology enables a risk-free scamming opportunity for the criminal element. If you’re a cryptocurrency user or investor, you should read this article.
The summary?
One of the particular features of crypto scams is how close they sit to conventional investing. Because of its volatility, crypto trading can have the feel of gambling — fortunes are gained and lost before lunch. Subareas like liquidity mining are even blurrier — the idea that your money could earn double-digit percentage returns with no risk seems too good to be true. But there are legitimate liquidity-mining operators, so how to tell the difference?
Remember, cryptocurrency is supposed to be a currency, not an investment, for the vast majority of its users – currency traders are few and far between in the real world. If you’re offered a chance for easy money, think twice and make sure you understand how it works, and how each option in the software works.
That’s a new one.
And remember – this isn’t The Sting. Vengeance will be doubtful.
