As of October 2022, nearly five billion people around the world were using social media, according to digital research firm Kepios. Each user spends on average two and a half hours per day browsing platforms like Instagram, Facebook, and YouTube. With such high engagement, it’s no surprise that cryptocurrency scammers are taking advantage of these platforms to deceive users. A report by the U.S. Federal Trade Commission revealed that half of the crypto scam victims were initially approached via social media — with Instagram and Facebook being the most commonly used platforms by fraudsters.
Below are some of the most widespread scam methods currently targeting crypto users:
Phony Verified Accounts
Most users rely on blue checkmarks to confirm the authenticity of accounts on social media. Twitter and Facebook show a message when you hover over the checkmark to confirm the account is verified. Instagram, on the other hand, redirects you to a profile info page instead.
Scammers attempt to bypass this system by uploading profile images that contain fake blue checkmarks. These images impersonate well-known crypto influencers or brands. To avoid falling for this trick, always hover over the checkmark (when applicable), inspect the account’s creation date and activity level, and verify if the profile links to an official website. Legitimate giveaways or promotions are typically confirmed on the brand’s official site. Never click a link until you've thoroughly verified the source.
The Reply Technique
Fraudsters exploit user replies on posts made by famous figures. When browsing comments, you might come across replies claiming to offer crypto giveaways or profit schemes. These are usually posted by fake accounts impersonating popular crypto personalities or companies. To increase perceived legitimacy, scammers often include screenshots of fake testimonials from other fabricated accounts.
Fake YouTube Live Streams
Another growing tactic involves stolen video content being streamed live on YouTube, masquerading as official events or announcements. These streams typically showcase known figures from the crypto or tech industry and are paired with giveaway promotions in the description.
For example, in September 2022, a scammer reused a 2018 interview with Apple CEO Tim Cook and labeled it as a 2022 “Apple Event Live” featuring talk about the metaverse. Viewers were directed to websites promoting fake Bitcoin and Ethereum giveaways. As reported by Jay Peters of The Verge, red flags included awkward video titles, overlaid crypto logos, obscured CNN branding, and unrelated URLs on the YouTube channel's page — all signs of fraudulent intent.
Tips to Stay Safe
1. Always verify social media account authenticity before engaging with posts or offers.
2. Be skeptical of promotions requesting cryptocurrency in exchange for more value — especially if found via ads or comments.
3. Avoid clicking links directly from posts. Instead, independently search for the person or promotion to confirm legitimacy. Malicious links can redirect to phishing pages or install malware designed to steal your funds.
4. Just because something is trending doesn’t mean it’s trustworthy. Stay alert to the warning signs mentioned above.
5. Secure your crypto assets by using strong passwords, enabling two-factor authentication, and maintaining a dedicated email for crypto activities. For maximum safety, keep most of your funds in a hardware wallet and use a reliable web wallet for daily use.
If you use Monero, XMRWallet is an excellent choice. It’s a free, open-source browser-based wallet that requires no software downloads or KYC. XMRWallet gives you full control of your coins and keys, with multilingual support and enhanced privacy. Combine Monero’s built-in anonymity with XMRWallet’s convenience for private, secure transactions every day.
