SCAMS abound on the internet - DO DUE DILIGENCE!
This is a Public Service announcement post. One of the things we hear the most from people is that there are just too many tokens and projects to keep up with, to research, and to actually understand. We work full time, and sometimes a bit more, just to keep up with the newest developments of our members, members working hard to offer their best products and services to their fans and investors.
But there are another group of projects whose only goal is to SCAM! To take your money, to prey on your ignorance.
On the internet, including steem-engine - its BUYER BEWARE.
These are the top steem-engine tokens by volume, and because most scams take advantage of the free transactions on steem-engine, they can self-trade themselves to the tops of the lists. Mixed in here each day are real, valuable projects but also hot air, scams and probably some illegal schemes as well.
Here is a great example: The LTCPEG - top trading token for several days now.
We noticed that the LTCPEG was suspisciously high in trading volume, and went to check if our memory served.
The LTCP:
Notice the subtle differences, but especially notice there is nothing here that would tell you which one was real. Follow the links? Maybe. But to me the real indicator is the volume. LTCpeg, the fake one, has hung near the top of the trading volume for days. If you search its accounts it is tied to other scam tokens.
LTCP - the real one? 4 dollars in daily trading volume.
Some coins you can tell from the bare description though. Sr Captain looks like he doesn't even know where to do from here. A token like that is not a token for our fund.
Another red flag is anything that tells you that its purpose is to 'Multiply your Money'.
Multiplying Money is not a thing. Never sign up for it.
In order for scammers to multiply their money, they use market magic to subtract from your wallet. Here is the market that has been driven down from over 1 steem to 0.00001 steem, the very same STAR token:
We here at the INCOME entertainment Synergy Fund do not think getting scammed is entertaining AT ALL! We recommend that people buy few tokens that they know a lot about, instead of the other way around. Remember that this is all for fun and experimentation, nothing lasts forever.
This is not advice, this is HISTORY. Do your own Due Diligence, which means HOMEWORK.
Posted via Steemleo
Thanks for the info :)
Investing is gambling, especially with most of these tokens. I like CANNA because they have a process for rolling them out that doesn't break the market. If demand continues they'll do fine I think!
"Sr Captain looks like he doesn't even know where to do from here."
Hmmm? lol
Thank you @ecoinstats, for using the CO2 Compensation Coin (COCO) to reduce your CO2 footprint.
The steem-engine team really needs to do something that removes this issue for some part.
I know a while back when waves had this issue tokens that got verified got a checkmark and name shown up ones that did not have any check and the name was an I:D number. I know this is not the ideal way but it could even be a pretty basic one to make sure coins like LTCpeg are not around.
It really is bad they have not taken that token down really
But then that would produce less bullshit, so how would steem engine line there pockets. They could do a number of things to stop people getting scammed but thats not in there interest.
Steem Engine is not only full of scams, but abandoned projects. It's a microcosm of crypto-sphere, with all the same bad behaviors amplified by the Steem hype chamber.
Thanks for your reporting! I was noticing some coins popping up like TRX, LTC, ETH and was curious if these were legit.
I think what Steem-Engine should do is implement a "KeyBase-like verification system", where projects / token creators link their profiles to other stuff ( project websites, twitter, youtube, discord, etc. ) and then when a coin is listed all a buyer would have to do is verify the team that created it.
For instance, on that
LTCPEGtoken, it claims to be from the Steem-Engine team. Well, we'd just have to go to their profile & see if they did in fact confirm it or not.I think putting some sorta verification system in place would be a better solution than deleting the tokens. Maybe just add a
SPAMtag to a token if it has a certain threshold of user-reported fraud alerts.a small token of appreciation
(if you dont want these or consider it spam then please leave a reply to this comment instead of downvoting and i will follow up)
$trendotoken
25 minutes ... hm ... no response ? is there a daily limit to this or something ? i just bought an extra 100 of them ... do you think it's a scam maybe ? :D
So true!!!
Resteemed this for more exposure. This definitely deserves to be trending!
Posted using Partiko Android