SCAM SITES

How to Identify a Cloud Mining Scam

1. The domain name is never registered to a real user but is instead hidden.

2. They register a Company - a number have done so in London to give the illusion of prestige - but the Directors are often registered as foreign residents where identity requirements are easily faked.

3. They are evasive when asked to show proof of their equipment.

4. They set aside funds and use initial funds from clients to make payouts to again give an illusion of respectability and honesty that then will generate more clients. They show a Bitcoin address that they make payouts from that is verifiable. One day the address stops paying.

5. They use promotion over substance with, for example, videos using fake representatives and offices -again with no proof of equipment.

6. They advertise with comparison sites who don't fully check out the Company's credentials as they are given a share of the profits from the scam. The Comparison sites say the site can be verified as it is making payouts from a particular Bitcoin address.

7. Read some online reviews. Look at reviews across a number of sources, such as Trustpilot, Feefo or Sitejabber, which aggregate customer reviews. Don’t look at just one review website – check several to avoid being influenced by potentially fake reviews. You should also check the company’s social media pages for recent activity and to see what other people are posting on their social channels.



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