Every week, thousands of XRP holders lose money through fraudulent websites. However, these rings may resemble real services and use such tricks to force users to exchange personal keys or to encourage direct fund transfers. Once that is done, investors will suffer substantial losses as recovery is nearly impossible.
Why is XRP the target?
XRP is one of the famous crypto coins, and this fact explains the popularity of this sect among con artists. There are many fraudulent sites that seduce investors through additional bonuses, staking benefits, or fake rewards with big returns. As soon as investors connect their wallets or transfer XRP, they run out of money.
The Scup’s Tactics
Usually, fraud is carried out in the same pattern. Some of them are professional crypto exchanges, or leaders in the respected crypto community, scammers who promise impossible rewards. With the presence of formal designs of such platforms, they look authentic to unsuspecting investors.
Experts encourage individuals with XRP tokens to pay double attention to the name of the search website, rather than pressing any link, and to do all things on the official exchange website. I highly recommend a cold wallet to store large quantities of XRP. Regulating agencies also encourage investors to be notified of ongoing fraud alerts and avoid becoming victims of fraud schemes.
Expansion of demanding stricter regulations
As fraud cases increase, crypto analysts are urging stricter regulations to hold fraudulent sites accountable. The World Government monitors malicious domains, but this cannot be effectively policed, as cryptocurrency transactions have no jurisdiction.
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