Most Common Cryptocurrency Scams (And Why They’re Getting More Sophisticated)

Cryptocurrency continues to grow in popularity, but so do the scams targeting everyday investors. Modern crypto scams are becoming more advanced, more organized, and harder to detect. Below are the most common types of cryptocurrency scams you should be aware of—and how scammers are evolving their tactics.

1. Investment Scams & “Rug Pulls”

One of the most widespread forms of crypto fraud is the investment or “rug pull” scam. In these schemes, scammers launch a new token, trading platform, or DeFi project and promise unbelievable returns. Because modern scammers are highly trained and increasingly sophisticated, these projects often look completely legitimate—with polished websites, whitepapers, and social media presence.

Once enough people invest, the scammers abruptly abandon the project and disappear with the funds. These scams have become more refined over time, making them especially dangerous for new investors.

2. Phishing & Impersonation Attacks

Another common threat involves phishing scams, where criminals impersonate trusted crypto services such as exchanges, wallets, or customer-support teams. They use fraudulent emails, fake login pages, and cloned websites to trick users into revealing sensitive details like private keys or seed phrases.

Today’s phishing attacks are far more advanced than those from just a few years ago. Scammers use professional branding, AI-generated messages, and realistic URLs to fool even experienced crypto users. Because blockchain transactions are irreversible, transferring funds to a scammer means the money is nearly impossible to recover.

3. Romance Scams & Social Engineering (“Pig Butchering”)

Romance-based crypto scams—often called “pig-butchering” scams—have exploded in recent years. These operations are run by highly trained, organized groups that spend weeks or months building relationships with victims online. Using emotional manipulation, well-rehearsed scripts, and psychological targeting, scammers convince victims to invest in what appear to be legitimate crypto platforms.

These fraudulent websites are so advanced that victims often believe they’re making real profits. Once the scammer has extracted as much money as possible, they cut off communication and disappear. As these networks become more structured and technologically advanced, they also become harder to detect.