How to Avoid Bitcoin Scams When Gambling Online
If you are new to cryptocurrency or gambling online with Bitcoin, you have to be extremely careful. The instances of cyber crime involving cryptocurrencies are continually on the rise. CipherTrace, an intelligence firm that focuses on digital assets, recently issued a report revealing over $1.36 Billion worth of crypto has been taken by criminals.
That total already puts 2020 in the second-largest year for crypto fraud in history. CipherTrace predicts that cyber crime involving crypto will increase this year, so it is important that you protect yourself. Today, we will go over some ways you can protect yourself from cryptocurrency scams when gambling at online casinos.
Beware of New Bitcoin Casinos
One of the top ways that criminals scam people out of their Bitcoin is through fraudulent sites. These scams are often involving fake cryptocurrency investments. However, there are others that focus on online gambling.
To be honest, some of the scams can be rather elaborate. It is not uncommon to see fake online casinos launched that offer a wide variety of online casino games. These games include all of the standard games you’d expect from online casinos, including online pokies.
Do the games look a bit off? They may be fake or a ripoff of a legit game.
However, if you look closely, you will see that the games are not the same as you see at legitimate casinos. They are often using software from unknown companies or are knockoff copies of legitimate titles.
These casinos may also offer bonuses that are far greater than even the most generous online casinos. Often, these casinos have games that are rigged or the casino simply never pays out their players. Instead, stick with some of our casino partners that accept Bitcoin players.
Investment = Scam
Let’s get something out of the way right now. If a website is telling you that you can invest your Bitcoin or altcoin to receive a fixed return, IT IS A SCAM. One of the top scams you will see in the crypto arena is investment scams.
The way they work is that you deposit some Bitcoin or altcoin and you are promised a fixed return after a set period. This can range from 48 hours to 30 days. Sites will lure in unsuspecting investors with promises of returns ranging up to 200% or more.
While this sounds awesome, it is a complete scheme. The only people that may make a little money are the earliest adopters. Those running the scam may pay a few people in the early going to try and legitimize the scheme and later pull the plug and run off with everyone’s money.
On occasion, you may see some form of investment scheme mentioned as part of a fraudulent crypto casino. Just be aware that claims that you can invest your crypto should automatically disqualify a site as a scam.
Be Careful of Faucets
Be extremely careful of any crypto casino or any online gambling that claims that you can use a faucet to play at the site. Faucets are used to give players a small amount of Bitcoin or other cryptocurrencies for free. The amounts are minuscule and often are not worth the trouble to acquire. Some casinos may offer faucets as a way to try and get you to play at the site.
Often, you have to use these faucets for a long time to get enough crypto to play with. Even then, you may not be able to cash out any winnings. Often, you will be forced to make a deposit to cash out your faucet winnings. After you make your deposit, good luck with cashing out.
Your best option for gambling with Bitcoin is to play at established online casinos that accept Bitcoin. Several Australian online casinos accept Bitcoin and altcoin, giving you a safe alternative to gambling online with cryptocurrency.