In this article, I’ll show you how to avoid being scammed when buying and selling NFTs.
When I initially entered the wonderful world of NFTs, one of my primary concerns was getting scammed. We all work hard for our money, so avoiding scams and educating others about the hazards will help the NFT community thrive. So, how can you prevent getting conned by NFTs?
Avoid unreliable websites
Scammers love to exploit human nature. People make mistakes, resulting in incorrect results. Scam sites are highly harmful in the NFT sector. It’s not uncommon for scammers to construct webpages that seem just like the real thing, leaving naive consumers vulnerable.
Scammers who obtain your secret phrase or control your desktop will have full access to your wallet and all of its assets.
Never submit your secret phrase, especially at a site’s request, and avoid doing anything you don’t feel 100% comfortable doing. Remember, if it appears too good to be true, it generally is.
Watch out for Pump and Dump schemes
The basic pump and dump plan is one of the most deceptive in NFT. A pump and dump occurs when a person or group of individuals buys huge quantities of digital assets to boost demand and price. Scammers sell all their assets once the pump raises value and liquidity.
An NFT’s transaction history is one of the easiest methods to detect a pump and dump scam. Depending on the quantity of assets accessible, it is normal to witness a pleasant and constant growth in value. In a pump and dump scam, the same two or three persons purchase and sell at a greater price.
If you find yourself in a pump and dump situation, get out as soon as possible and save your money. The easiest method to prevent losing money due to a pump and dump scheme is to perform your own research. Sorry, I had to.
Deal with trustworthy sellers only
Only transact with persons you personally know and trust. Dealing with a shady character might be disastrous. Say you give someone a non-fungible token with the promise of payment upon delivery, but they don’t pay you.
It is as simple as stealing candy from a newborn if you are uninformed of the fraud. If you want to purchase or sell an NFT, use a secondary market like OpenSea.io. When selling an NFT on OpenSea, you may make it private and only allow one address to buy it.
Using the marketplace to transact with strangers is one of the better solutions in my opinion. So there’s no uncertainty about price, gas fees, or who gets what.
Beware of fake NFTs
Fake NFTs aren’t liked, especially when they’re intended to be distinctive and interchangeable.
People have bought fake NFTs thinking they were getting the real thing. In the transaction data, you can see who issued it and when. Comparing this data to what you know about the NFT author verifies its authenticity.
These fake NFTs appear just like the genuine thing, but it’s all about the information and when the token was truly issued. Avoid identifying an NFT by its appearance.
Keep your secret phrase, a secret
Handing out your secret phrase is like giving out your SSN; you do it with utmost caution. Your secret phrase controls your crypto wallet and its contents. You’d be left with nothing if someone got a hold of your term.
Only when importing your wallet should you need to input your secret word. This is usually only required if you uninstalled an app or a browser extension. Scam sites demand you to input your wallet’s secret word.
For this reason, I always stress the significance of carefully safeguarding your secret word.
Ultimately, it comes down to being wary of scammers. Do your homework, avoid unpleasant situations, and get out as soon as possible if you find yourself in one. Remember, you are in control. Don’t fall for their ruses.
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