By Gabriel Joyce
With the advancement in tech, criminals are leveraging the power of social media to steal from customers. Based on social media features, such as widespread connectivity and real-time communication, these platforms enable scammers to execute their illegitimate activities.
The prevalent use of social media by criminals makes it difficult to distinguish between genuine and fake content. This guide explains how the scammers use social media to steal from investors.
Strategies Used by Scammers to Target Crypto Investors on Social Media
As people turn to online platforms to seek financial information criminals are taking advantage of novice investors to steal from them. From the reported cases the criminals leverage their expertise to mix genuine content with fake information. To ensure the scam post reaches the target audience the scammers use sponsored posts making the project look legitimate.
Aiming at exploiting the user the scammers use influencer partnerships to promote their project. The influencers are paid by the criminals to market their dubious scheme to the public.
Alternatively, the scammers create a fake account demonstrating that they have endorsed a public figure to promote their products and services. These fake accounts make it hard for customers to confuse them customers. To win the customer’s trust the fake account resembles a genuine account but they are purposely created to steal from the customers.
In other cases, the customers leverage the power of advanced technologies such as artificial intelligence (AI) to create deepfakes that convince the customers to purchase a product. The deepfake utilizes AI algorithms to create videos, documents, and audio that attract organic traffic to the site.
Apart from deepfake, AI technology enables scammers to interfere with social media algorithms to drag customers to their fraudulent schemes. They create catchy images, and compelling messages tricking the social media algorithms to make the post appear at the top of the feed.
The criminals ensure that their content is read by the masses they use targeting tools that target a specific group of people. Such targeting tools include the advertisers who will push the brand to their target group.
Occasionally the scammers target individuals from the vulnerable communities with less information concerning scams. Individuals from less privileged communities are the potential targets of scammers.
Also, criminals use AI bots to ensure their social media accounts remain active. The AI bots allow the criminals to generate random messages, comments, and posts that promote the scams to the public.
How to Avoid Crypto Scams?
As investors suffer loss of substantial amounts from crypto scams it is important to be vigilant before investing in any business. Investors should critically think about the idea or project promoted on social media.
Before the initial investment, the investors should analyze the features of the product or service to identify genuine and fake products. Any legitimate business highlights the relevant information concerning the product or service.
The investor should avoid businesses that request confidential information to avoid being scammed. Also with the changes in tech investors should stay up to date with emerging cybersecurity trends.
In the digital era, fraudsters are becoming more innovative and creative. This implies that investors should stay informed by regularly reading the news and articles posted by reputable exchanges, law enforcement units, and security experts.
Also, the investors should conduct intensive research to gather critical information concerning a product and service. Research will enable customers to make informed decisions about investments.
Conclusion
In the article above we have discussed various approaches scammers use to target crypto investors. Among the approaches that the scammers use of social media to promote their illegitimate businesses.
The fraudsters are using fake celebrity endorsements to hype their products. Also, criminals are using emerging technologies such as deepfakes, and AI bots to alter social media algorithms to push their brands.
As scammers embrace creative approaches to steal from their targets investors need to be vigilant when investing in online business.
