USA – Based on previous investigations on the dark side of digital assets, it was discovered that about $16.7 billion or €15 billion were stolen by theft since 2011.
Scams remain rampant in the cryptocurrency world. Hence, as of this year, the total amount of cryptocurrency scams and thefts amounted to $4.3 billion.
Moreover, tokens created major headlines this 2020 for deceiving depositors out of a record $3 billion in assets. In the latter half of the year 2019, the rip-off was dumping more than 1,300 Bitcoin on the market every day. However, these scams and robberies were worse last year, and these have still been the current problem for the crypto industry for the majority of the previous decade.
Scams have become worse in the previous few years. Many can be connected back to the modest beginners of the cryptocurrency market. Even in 2011, there was a widespread problem. An earlier statement by De Correspondent found that there’s a total of $16.7 billion or €15 billion digital assets, which were stolen since 2011.
The investigation displays a long list of swindled trades, which have beset the crypto industry in the previous years. Some entities and trades were merely victims of hackers. On the other hand, others take their users.
De Correspondent saw into 70 of the worst scam cases in the digital asset industry. Based on the cases, OneCoin topped the list, wherein it has a total of €3.6 billion stolen cryptocurrencies. PlusToken is the second placer, which amounted to €2.6 billion, and it’s followed by Bitconnect, which amounted to €2.25. Lastly, BTC-e amounted to €1.3 billion. These four scams are the only occurrences where the stolen capitals amounted to more than €1 billion.
There are a few paths that hackers typically utilize to steal resources from victims. Most typical is the entire exit scam, which the author connects to the previous fiasco concerning QuadrigaCX. There’s the ICO model as well, which encountered a boom in 2017, yet several of these projects went bankrupt in 2018. While some ran off with the resources, scammers employ the classic multilevel market method, which is an average pyramid scheme.
There are many more habits that scammers use to steal. These ways range from blackmail, abusing awkward exchanges, state-sponsored thefts, and theft of SIM cards.
Scammers in the industry are not reinventing the wheel or utilizing innovative techniques. There are classic systems that have beset the crypto market at large for an extended time. The dilemma is that the digital asset industry is far too young to fight against these, as well as the necessary penalties for scammers, which are poorly created.