Stay Smart: Recognizing and Avoiding Cryptocurrency Scams

As cryptocurrency becomes more mainstream, so do the scams surrounding it. The National Association of REALTORS® (NAR) is raising awareness this June about a growing trend in fraud: cryptoscams that target real estate professionals and their clients. These scams can be sophisticated, often disguised under the promise of quick wealth, and they’re catching unsuspecting victims off guard.

Download the Cryptoscam Awareness One Sheet PDF here!

One common tactic scammers use is to quickly build a trusting relationship. They often portray themselves as knowledgeable and wealthy investors, claiming to have made significant profits through cryptocurrency. They may promise you similar fast and high returns if you invest, often urging you to act quickly and make decisions on the spot. A major red flag is their unwillingness to meet in person, preferring to communicate only via phone, text, or email.

To protect yourself, it’s crucial to stay skeptical and cautious. Never respond to unsolicited investment invitations sent through text messages, emails, or social media. Limit the amount of personal information you share online—scammers can use even the smallest details to gain your trust. Always research investment platforms thoroughly before committing any money. Look up the company in online corporate records and verify their registration with official regulatory bodies like the Securities and Exchange Commission (SEC).

If you suspect a cryptocurrency scam, don’t hesitate to report it immediately to the Internet Crime Complaint Center at ic3.gov and contact your local law enforcement agency. Staying alert and informed is your best defense.