Last updated on May 18th, 2024 at 11:51 am
A well-known voice in the Shiba Inu community has warned against the disturbing rise in a honeypot scam that targets ignorant SHIB holders and investors.
As cryptocurrency grows in popularity and with the ongoing market rally, crypto investors continue to face different forms of scams looking to drain their portfolios of their held assets.
The Shiba Inu community is not left out of this scheme. Due to the loyalty of the millions of SHIB users and investors, they remain a highly targeted group.
As a result, members of the Shiba Inu team and leading voices of the community occasionally publish warnings and guides on how to avoid losing their assets to perpetrators.
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Recently, SHIB BPP, a popular voice in the Shiba Inu community issued a warning on X (formerly Twitter) about the rise in a scam known as ‘honeypot.’
Honeypot scam promotes opportunities that seem to be very attractive to victims with the intent of deceiving them into investing. They are clever traps designed to fool unsuspecting crypto investors.
SHIB BPP advises due diligence
According to SHIB BPP, honeypot scams come in different forms including bogus websites and social media accounts. They also come in the form of actors that falsely advocate schemes.
The influencer advises the community to be cautious and ‘undertake extensive research’ to confirm the genuineness of the websites and the social media profiles promoting such projects.
Furthermore, he stresses the importance of selecting investments with ‘established credibility’ and also to use well-known crypto exchanges. Some websites that are used to promote scam projects often look like the original ones.
They go as far as using similar domain names with slight differences, sometimes using numbers in place of letters or separating words with a dash (-). Users who are not observant click on these links, connect their wallets to the platform, and end up losing all their held assets.
Sadly, as the crypto market gets ready for a bull run, such websites might become too many targeting users through prominent social media like X and Telegram.
Investors need to protect their assets by investigating thoroughly before making any financial decision. Remember, if it seems too good to be true, it probably is.
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Read also:
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- Shiba Inu Team Shares Important Update on How To Avoid Scams on Shibarium
- SHIB Community Warned Over Increasing Number of Targeted Scams
Victor Swaezy
Victor Swaezy is a crypto-journalist with more than 3 years of experience in covering blockchain technology and digital currencies news. Known for his comprehensive reporting, Victor has contributed to leading industry publications such as Coinfomania and Crypto News Guru, providing market participants with the required knowledge to make informed decisions. When he is not working, he loves to watch movies and have a good time.