Falling Victim to Crypto Scams, What to do?

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By Tokenize Xchange
April 19, 2022

One of the worst things that can happen to you while interacting with cryptocurrencies online is discovering you’ve been duped by a crypto scam. This discovery, however, does not have to be the start of a downward spiral of despair. In this article, Tokenize will discuss the following measures you should do if you fall for crypto scams. Let’s find out!

falling victim to crypto scam?
In this article, we will discuss the following measures you should do if you fall for crypto scams

Preserve your transaction information

In addition to keeping all your transaction information on your mobile device, you should make duplicates of them and save them in the cloud in case your device is lost or stolen. 

The same happens to transaction logs. These may be viewable in an online account, but you never know when they will be removed by the company. Because fraud investigations might take a long time, it’s critical that you have a long-term strategy in place for safeguarding these records.

crypto transaction
Make duplicates of your transaction information and save them in the cloud

Investigators will need all of the transaction IDs identifying the monies you sent to the scammers before they can begin tracing your assets. Investigators will be able to “track the money” with these transaction IDs and discover exactly where your coins are going. While it is still feasible to perform an investigation without transaction IDs, understanding them can help to speed up the process and eliminate potential pitfalls.

Contact the company

If you have the impression that something isn’t quite right with your crypto investment, you should contact the company straight away to make sure it’s not a mistake. You should contact them not just via email and phone, but also through social media platforms, as these can alert others to your difficulties.

A clear and succinct account of your occurrence will provide color to your case and enhance an investigator’s grasp of the money movement. Include the following details in your narrative:

  • Transaction IDs that we mentioned above,
  • Where you sent your crypto from (private wallet, account at exchange X, etc.)
  • Where you thought you were transferring your funds (perpetrator’s private wallet, arbitrage account at XYZ, etc.)
  • Any details regarding the scam and scammers.

In most cases, law enforcement will also demand confirmation of ownership of the monies’ original source. Please double-check that any accounts you used to pay money to the scammers are still active.

Report to local authority

If you believe you have been the victim of a fraud or scam, you should alert your local authorities as soon as possible. While your local authorities may not be able to start an investigation right away, they will have the most up-to-date information on what resources are available to you and to who you should report.

If you believe you have been the victim of a fraud or scam, you should alert your local authorities as soon as possible

Cybercrime agencies frequently wait until a number of reports about a scam or fraud have been received before opening an investigation, so even if the amount you lost was little, reporting it to these organizations can help generate momentum for an inquiry.

Warning other investors against the crypto scammers

A lot of cryptocurrencies have active online communities that share news via Reddit, Discord, Telegram, and other platforms. In case you encountered crypto scams, don’t hesitate to reach out to others in the community to make a warning about your issue. 

Hence, other investors are aware of potential issues and build a network of people in similar circumstances so that you can collectively work to resolve or report the issues. 

Learn from your mistake

Finally, take something away from the event. What has been done is done, but by reflecting on what has occurred, you can learn how to protect yourself in the future. The greatest teacher of all is experience.

How to protect yourself from crypto scams?

If you have fallen victim to crypto scams, the chances to get your money back are low but never zero. However, the best strategy is to not fall into the trap, prevention is better than cure, as we always say! So, how to protect yourself against cryptocurrency scams?

how to protect you from crypto scams
How to protect yourself against cryptocurrency scams?

1. Set up your Two-Factor Authentication (2FA)

Two-factor authentication (or “2FA”) is a secondary security measure meant to verify your identity before logging in. Tokenize Exchange encourages all users to enable the 2FA to ensure that your account stays protected.

2. Never share sensitive information with anyone

This includes your email addresses, mobile numbers, passwords and 2FA access. By sharing this information online, hackers will be able to gain access and control of your account.

3. Never click on suspicious links via emails, SMSes or on Facebook posts.

Should you receive an SMS or emails containing a suspicious link to a website, it may likely be from a scammer. Please do not click on such links. Do check carefully who the email is from and confirm that the URL starts with https://tokenize.exchange/.

4. Never transfer cryptocurrencies to a stranger’s wallet

Should a stranger online approach you for assistance with transferring cryptocurrencies into their wallet, please do not do so. Only withdraw your coins to a wallet that you know.

For more information on whitelisting your addresses, you may click here.

5. Check for official statements and posts by Tokenize Xchange

All official posts by Tokenize Xchange will be posted on our main social media platforms:

6. Tokenize Xchange staff will never ask you to deposit, withdraw or transfer your coins to a separate address.

Our friendly staff is here to assist you with your inquiries and will NEVER ask you to transfer your cryptocurrencies to a separate account. Keep a lookout for our official email addresses that will end with -@tokenize.exchange.

7. If in doubt, please reach out to us

Should you be unsure about the legitimacy of any websites, or links or suspect that you are a victim of an impersonating scam, please feel free to check with us before continuing with any further action.

You may drop us an email at info@tokenize.exchange or support@tokenizexchange.zendesk.com 

Keep in mind all the cautions and tips above to protect your investment and you will be fine. Also, don’t hesitate to contact us if you got any issue!


Cryptocurrencies are subjected to high market risk and volatility despite high growth potential. Users are strongly advised to do their research and invest at their own risk.