Crypto Scams: Common Types, Warning Signs and What to Do
A crypto scam persuades you to send cryptocurrency or invest on a fake platform. Learn the common types, the warning signs, and what to do and where to report if you've already paid.
By Editorial Team
9 min read
A crypto scam is any scheme that tricks you into sending cryptocurrency or “investing” through a fake platform, wallet or person. The most common versions are fake investment opportunities introduced by a new online friend, impersonators demanding payment in crypto, and giveaways that promise to multiply what you send. If you think you’ve been caught in one, stop sending money, contact the exchange or crypto ATM operator you used through its official website, and report it to the FBI at ic3.gov and the FTC at ReportFraud.ftc.gov. For every reporting option in one place, including outside the US, see how to report a scammer.
Crypto payments are fast, global and very hard to reverse, which is exactly why scammers prefer them. Being targeted doesn’t mean you were careless: these operations are often organized, patient and convincing. This guide explains how they work, what to watch for and what to do now.
How a crypto scam usually works
The details vary, but most crypto scams fall into a few recognizable patterns.
Fake investment platforms
This is the pattern with the biggest losses. It often starts with a friendly stranger: a “wrong number” text, a dating app match, a social media follower or a contact in a group chat. Over days or weeks they build a friendship or romance, then mention how well they’re doing trading crypto.
They guide you to a website or app that looks like a real trading platform. Your first small deposit appears to grow quickly, and you may even be allowed to withdraw a little to build trust. Encouraged, you invest more. When you try to withdraw a larger amount, you’re told you need to pay a “tax”, “release fee” or “verification deposit” first. The balance on screen was never real, and the money went straight to the scammers. This is sometimes called “pig butchering”, a name that reflects how long the victim is groomed before the loss.
Our guide to romance scams covers how the relationship side of this is built.
Impersonation and crypto ATM demands
Someone calls or messages pretending to be from the government, law enforcement, your bank, a utility or tech support. They say your accounts are compromised or you owe a fine, and that you must withdraw cash and deposit it into a crypto ATM, often by scanning a QR code they send you. No real government agency, bank or utility will ever ask you to pay with cryptocurrency or use a crypto ATM.
Giveaways and “double your crypto” offers
A post, video or livestream, sometimes using a celebrity’s name or an AI-generated likeness, promises that if you send crypto to an address, you’ll receive double back. You won’t. Any message promising to multiply your crypto is a scam.
Fake jobs and tasks
A “job” pays you to complete simple online tasks, like rating products, but you have to deposit crypto to get each new batch of tasks or to withdraw your earnings. Our guide to job scams covers this pattern.
Account takeovers and fake support
Scammers pose as support staff for an exchange or wallet provider, often replying to people who complain publicly online. They ask for your login, your two-factor code or your wallet’s recovery phrase. Anyone with your recovery phrase can empty your wallet. If your exchange account has already been accessed, see our guide on what to do if your Coinbase account is hacked; the same principles apply to other exchanges.
Crypto scam warning signs
- Someone you met online, and have never met in person, starts talking about crypto investing.
- You’re promised guaranteed returns, or returns that are unusually high and steady.
- You’re asked to use a specific platform or app that you can’t find reviewed by independent sources, or that isn’t available in official app stores.
- You must pay a fee, tax or deposit before you can withdraw your own money.
- Anyone asks you to pay a bill, fine or debt in crypto, or to deposit cash at a crypto ATM.
- Someone asks for your wallet’s recovery phrase (seed phrase), private keys or two-factor codes.
- You’re pressured to act quickly or told to keep the investment secret from family or your bank.
- A celebrity or company appears to promise to double any crypto you send.
What to do right away
- Stop sending money. Don’t pay any withdrawal fee, tax or “final” deposit, even if your account shows a large balance. The balance is not real, and more payments only increase the loss.
- Stop contact with the person or “platform”. You don’t need to confront them or explain yourself.
- Contact the exchange, wallet provider or crypto ATM operator you used, through its official website or app, not a link or number the scammer gave you. Report the fraud and ask whether the transaction or receiving account can be flagged.
- If you paid by card or bank transfer to buy the crypto, call your bank using the number on your card or statement and tell them what happened.
- Secure your accounts. Change passwords for your exchange and email, turn on app-based two-factor authentication, and move any remaining crypto to a new wallet if your recovery phrase may have been exposed. Our guide on what to do if your account was hacked covers securing accounts more broadly.
- Save evidence. Keep screenshots of messages and profiles, the website address of the fake platform, wallet addresses you sent funds to, transaction IDs (sometimes called transaction hashes), dates, amounts and any receipts from crypto ATMs.
Where to report a crypto scam
| Where | What to include |
|---|---|
| FBI IC3 (ic3.gov) | The receiving wallet addresses, transaction IDs, amounts, dates, website addresses and contact details the scammer used. |
| ReportFraud.ftc.gov | A summary of what happened and how you paid. |
| The exchange, wallet or ATM operator | Your account details, the transactions involved and the receiving addresses. |
| The platform where contact started | Report the profile, account or post on the dating app, social network or messaging app. |
| Your bank | If you funded the crypto purchase from your bank account or card. |
If you also shared personal documents or your Social Security number with the scammers, follow our steps on what to do if your identity is stolen.
Can you get crypto back after a scam?
Usually not quickly, and often not at all. Crypto transactions can’t be canceled once they’re confirmed, and funds are typically moved on fast. In some cases law enforcement is able to trace and seize funds, which is one reason detailed reports to IC3 matter, but you should not count on a recovery.
What you can do is prevent a second loss. People who have been scammed are often targeted again by “recovery” services that claim they can trace and return your crypto for an upfront fee, sometimes posing as lawyers, blockchain investigators or even government officials. Never pay a recovery service. Real law enforcement agencies don’t charge victims to investigate. Our guide to recovery scams explains how to spot them.
Example: the investment tip from a new friend
This is an illustrative scenario, not a real case. Marcus gets a text that seems meant for someone else. He replies to say it’s the wrong number, and the sender apologizes warmly. They keep chatting for a few weeks about work, travel and family.
His new friend mentions making steady profits on a crypto trading site and offers to show him how. Marcus deposits a small amount and watches it grow on the dashboard. He deposits more. When he tries to withdraw, the site says he must first pay a large “tax clearance” fee.
- Marcus mentions the fee to his sister, who points out that real platforms deduct fees from the balance rather than asking for a new deposit.
- He stops replying to the friend and pays nothing more.
- He contacts the exchange he used to buy the crypto, through its official app, and reports the transfers to the fake site.
- He files a report at ic3.gov with the wallet addresses and transaction IDs, and another at ReportFraud.ftc.gov.
- Two weeks later, a “crypto recovery firm” messages him offering to retrieve the funds for a fee. He recognizes it as a follow-up scam and reports that too.
Not sure where to start?
Get a free audit of your search results and review profiles, with a prioritized fix list.
Get a free auditHow to protect yourself from crypto scams
- Treat investment advice from online strangers as a warning sign, however long you’ve been talking.
- Only use exchanges and wallets you’ve researched independently, and download apps from official app stores rather than links in messages.
- Type addresses yourself. Go to an exchange’s website directly instead of clicking links in emails, texts or ads.
- Keep your recovery phrase offline and private. Never type it into a website or share it in a chat.
- Use app-based two-factor authentication on exchange and email accounts.
- Pause before any payment you’re pressured to make. Talk to someone you trust first.
Common mistakes to avoid
- Paying a withdrawal fee to access your “profits”. The profits don’t exist, and fees are how the scam keeps going.
- Paying a recovery service that promises to get your crypto back.
- Waiting out of embarrassment. Fast reports give exchanges and investigators the best chance to act.
- Sharing screenshots that show your recovery phrase or private keys when asking for help online.
- Blaming yourself. These scams are run by organized groups who do this every day.
If the scam has left your name attached to fake profiles, scam-warning posts or other harmful content in search results, our personal reputation management service can help. If you’re also being threatened or harassed, see our help resources page for support organizations.
Frequently asked questions
How can I tell if a crypto platform is a scam?
Warning signs include being introduced to it by someone you met online, promises of guaranteed or unusually high returns, no independent reviews, an app you can’t find in official app stores, and being asked to pay a fee before you can withdraw. If a platform asks for a new deposit to release your money, stop and report it.
Can the police get my crypto back?
Sometimes law enforcement is able to trace and seize funds, but it’s never guaranteed and can take a long time. Report to the FBI at ic3.gov with as much detail as possible, including wallet addresses and transaction IDs, and keep your records.
Are crypto recovery services legitimate?
Be extremely cautious. Services that contact you, or that ask for an upfront fee to recover stolen crypto, are a common follow-up scam. Law enforcement doesn’t charge victims. If you want advice about legal options, talk to a lawyer you find independently.
Will a government agency ever ask me to pay in crypto?
No. Government agencies, law enforcement, banks and utilities don’t demand payment in cryptocurrency or ask you to use a crypto ATM. Anyone who does is a scammer.
Should I report a crypto scam if I didn't lose money?
Yes. Reporting the platform, wallet addresses and profiles to IC3, the FTC and the platform where contact started helps shut them down and protects other people.
