Scam › Module 2 › Lesson 2
Crypto & Investment Scams
Recognize pig-butchering, fake trading apps, and guaranteed-return crypto investment traps
Opening
The friend who teaches you to trade
It starts with a chat, a dating app match, or a "mentor" who slowly builds trust. Then comes a trading tip, a private platform, and screenshots of profits. Crypto and investment scams do not need a hacked wallet first—they need you to send funds willingly to an attacker-controlled address or fake app.
1. Common Crypto Fraud Types
Pig-butchering
Long-term relationship + fake trading platform. You deposit more to "unlock" withdrawals. The money was never yours to withdraw.
Fake exchanges / apps
Apps or sites not listed by real reputable exchanges. Reviews may be bot farms.
Guaranteed returns
"10% weekly risk-free" violates how real markets work. Guarantees are a siren.
Recovery scams
After you lose money, a second scammer offers to "recover" funds for an upfront fee.
2. Hard Rules That Protect You
Never invest because a stranger or new romantic interest pushed a platform. Never send crypto to "release" a withdrawal. Use only well-known exchanges you typed yourself, with MFA on. If an investment cannot explain risks clearly, or pressures secrecy ("don't tell your family"), walk away.
Profits on a screen are not money in your wallet
Scam dashboards can show any number. Only balances you can withdraw—without surprise taxes—to an address you control count.
Knowledge Check
What is a classic sign of a crypto investment scam?
Multiple choice
Knowledge Check
True or False: Paying an extra "tax" to a stranger so you can withdraw scam-platform funds is a normal step.
True or False
Knowledge Check
A recovery scam usually appears:
Multiple choice