With multiple developments coming from the Shiba Inu community, scammers have flocked to the ecosystem, seeing the brewing excitement as an opportunity to scam unsuspecting victims. As a result, community members have taken to social media to warn others of the looming risks that could cause them to lose money.
Scammers Take Advantage Of Shiba Inu Liquid Staking
A Shiba Inu influencer who goes by @ShibBPP has sounded a warning alarm for SHIB community members who are being targeted in new and elaborate scams. These scams look to be preying on the eagerness of users to invest in new endeavors in the ecosystem, thereby leaving them vulnerable to these scammers.
The influencer outlined the most common scams that have been circulating, including honeypot scams. Honeypots are a kind of scam that allows investors to buy into a project, but they will be unable to sell. Thereby automatically losing their money as soon as they invest.
These scams will often go to great lengths to come across as completely legit to the unsuspecting eye. They often include websites, social media accounts, and promises of incredible returns. They can also go as far as having posts from known accounts that advertise these scenes.
To avoid falling for such scams, the influencer has advised Shiba Inu community members to stay away from these projects with unbelievable returns. If it sounds too good to be true, then it often is. “Select investments with established credibility, and use reputable exchanges,” the post read.
How To Avoid Falling For Scams
When it comes to crypto, navigating and avoiding scams is, unfortunately, a part of the game. This is why it is important for investors to arm themselves with the correct information and always do extensive research to avoid losing their money.
In another post, the influencer gives multiple strategies to avoid these scams that are now targeting the Shiba Inu community. These include extensive research, as mentioned above, as well as only investing in projects that have a proven track record of being trustworthy.
Honeypots are not the only kind of scam targeting the Shiba Inu community; wallet drainers are also rampant. These types of scams direct investors to a fraudulent website where they lure them to connect their wallets, and they end up losing all their money after confirming a transaction.
Another type of scam is phishing attacks, which email Shiba Inu community members bogus links in an attempt to steal their crypto information. Users have been warned to ignore these kinds of emails as well as other messages that are suspicious.