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(Kitco News) – As anyone who has dabbled in the cryptocurrency market for a while can attest, learning how to identify and circumvent scams is a necessary skill to thrive in this fast-paced industry where investors are always looking for the next 100x token.
One of the most popular methods of trying to suck in unexpected crypto investors is to pump launch a new token connected to a big company like Google or Facebook and try to catch FOMO (Fear of mission out ) that follows.
The most recent example making the rounds on social media and YouTube right now is one promoting the launch of Amazon Tokens, where malicious ads that mimic legitimate news sites post breaking stories on the largest online retailer in the world launching its own cryptocurrency.
This is particularly relevant for the Kito community, as these fake ads have appeared in the comment section of Kitco NEWS videos on YouTube.
The fake stories rely on people’s trust in the Amazon brand and play on their desire to enter the bottom tier of the next big token before the bulk of investors arrive. Many remember reading stories about high-flying tokens during the ICO craze of 2017-2018 and are excited about the prospect of overnight riches.
Unfortunately, the claims made in these stories are 100% false as Amazon has repeatedly denied any plans to launch its own cryptocurrency. As it stands, the company has yet to integrate the cryptocurrency payment option at checkout, so the idea of an Amazon token seems even more outlandish.
That’s not to say Amazon will never release its own token or become more involved in cryptocurrency payments, but rest assured, if they decide to go this route, the story will be headline news. from all the major media outlets in the western world.
Some common things to look for when trying to determine if a crypto ad is a scam include frequent spelling mistakes in the ad or landing page, a timer encouraging you to invest now before time runs out, and nice promises on the height of the token. or any case of “guaranteed income”.
— Harrison (@MaximusCipher) August 20, 2022
That being said, scammers have become increasingly sophisticated in their craft and the websites they offer can be extremely persuasive to even the most experienced scam detectors. Experienced crypto holders will confirm that it is often safer to simply assume that crypto advertisements and posts on social media are illegitimate and require further verification.
One way to check if a new token is legit is to go directly to the project or company’s website (without clicking on the links provided) and look for an official announcement from that company outlining the details.
Another method is to perform a simple Internet search for a term such as “Amazon Token” and review the results of related news published by trusted news providers. If there aren’t multiple stories from major news brands published around the same time regarding this topic, the token is likely a scam.
Above all, it is essential to remember that the global nature of cryptocurrencies means that threats can come from anywhere, in increasingly sophisticated ways, so it is important for the individual crypto investor to remain vigilant. and always do a good amount of research before getting involved in any crypto project.
Disclaimer: The opinions expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. This is not a solicitation to trade commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for loss and/or damage resulting from the use of this publication.