Cryptocurrency Scams have increased by 40% in 2020, Studies Have Shown

Whenever the success story of the overall cryptocurrency industry will be written, the year 2020 will be mentioned with stars by any author. This is because the year 2020 was the year when the cryptocurrency business went to boom.

While the pandemic hit the entire world and destroyed the global economy, what it failed to impact was the cryptocurrency sector. As the global economy tried to stand on the ground to take the pandemic head-on while shivering, the cryptocurrency industry went onto hit all-time highs.

The industry gained constant growth, development, success, adoption rate, and investments in the same year. It was the same year when the world realized the importance of having digital/virtual currencies just in case something similar to COVID-19 again hits the world.

Unfortunately, as the number of people having knowledge of cryptocurrencies around the world has increased, so has the number of scam-artists and cyber-criminals. These elements have latched onto the needs of the people who were new to the cryptocurrency sector and have deprived them of their belongings.

People that had less knowledge about cryptocurrencies or were not that much into technology but still wanted to benefit from the cryptocurrencies were the easiest target for such scammers.

The worst part is that the number of such scammers and hackers is constantly on the rise and is expected to rise even more in the coming years.

The latest research around the cryptocurrency sector has revealed the scam rate that has been experienced in the year 2020. The sources reveal that the scam rate in the cryptocurrency industry is constantly on the rise. In the year, 2020, the scam rate in cryptocurrencies has been doubled than what it was in the year 2019.

Unfortunately, the predictions surrounding the scam rates for the running as well as the upcoming years are not looking good either. The forecast has revealed that the number of scams in the year 2021 will increase even more.

Bolster, a fraud prevention company has recently published a report titled “Cryptocurrency Scam Report”. In the report, Bolster has linked the surge in the scams of cryptocurrencies with the surge of crypto-users during the pandemic.

Bolster has also claimed that their stats come from research and data that they collected from over 300 million websites. From those websites, Bolster has identified that the total number of crypto-scams that were created from these websites was more than 400,000.

The company has revealed that compared to the stats they gathered in 2019, this is a 40% increase in the scams/crime rate with respect to cryptocurrencies in a matter of 12 months.

However, looking at the current situation “bullish” situation/nature of cryptocurrencies and most importantly, Bitcoin, it is to be expected that the scam rate would increase up to 75% in 2021.

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