Unmasking Deception: Exposing the Anatomy of Scams

This LinkedIn post is among the most candid and admittingly embarrassing updates I've ever shared.

Several years ago, during my time in Asia, I found myself drawn into a financial ordeal that cost me a significant $25,000.

I was introduced to the so-called 'Richard Branson of Southeast Asia' who turned out to be anything but that, as I would soon discover firsthand. At that time, I was a young and ambitious investor, deeply immersed in the startup scene, either investing in emerging ventures or actively seeking new investment opportunities. My ambition sometimes clouded my judgment. I wasn't exactly flush with cash, so this financial hit had serious consequences for me.

In retrospect, it was an invaluable, albeit expensive lesson that taught me to recognize the common patterns of scams, the knowledge I hope to pay forward these days.

Before we finalized any equity deals, money transactions, or signed any agreements, this individual would often send his chauffeur in a Rolls Royce to whisk me away for extravagant dinners and nights out. We played poker in his opulent mansion, surrounded by film producers and self-proclaimed titans of industry. It was easy to imagine that this luxurious world could one day be mine.

He always treated me like the guest of honor, introducing me as his protege. He promised astronomical returns and even floated the idea of me heading up his global marketing department. What an opportunity, right? Not only would my investment multiply, but I could steer the ship.

I bought into his vision, which aligned with my deep passion for global conservation and ecology. His company was poised to revolutionize recycling, and I was thrilled to be part of it.

He always had a cigar in his mouth and boasted about his powerful and influential friends, displaying photos of himself with former US presidents, Hollywood stars, and other luminaries. He painted himself as a genius deal-maker and business guru, with plans to groom me for the same role one day.

I confess that I did hear rumors of caution from close friends, but I dismissed them, convinced they were mistaken. After all, I was his protege.

He played all the right notes, showcasing a lifestyle that few could dream of. He saw potential in me and wanted me in his world. I took the leap, signed the paperwork, and transferred the money. Less than two hours later, I received an anonymous text warning me not to invest, revealing the intention to scam me. Panic set in as my heart raced and cold sweat kicked in.

It all came crashing down around me. No more Rolls Royce waiting for me, no more poker nights or fancy dinners. He started to give me the cold shoulder and it felt horrible.

I had to maintain composure and attempted to recover my funds. He assured me my money was secure but then claimed to be ill and needed to be hospitalized. He sent me pictures of himself in a hospital bed, draped in a gown and cap, citing the need to delay our business plans.

This back-and-forth continued until all messages and calls went unanswered. He had moved on to his next victim, and I was left empty-handed.

These might have been the days before crypto, but there are discernible signs and patterns in these situations, which I hope will serve as a cautionary tale for those chasing their investment dreams:

1. Beware of overly confident individuals, often referred to as "conmen."
2. Never blindly trust business plans, websites, or professional profiles. Seek references from established investors or contact their bank directly or in crypto look at their token distribution. DYOR
3. Scammers often flaunt wealth, questioning why they would cheat you when they appear successful.
4. They shower you with attention initially but distance themselves as you become wiser.
5. They will identify a core value of yours and exploit it.
6. Scammers frequently boast about connections with celebrities and influential figures.
7. Be cautious of those using family members to shield assets.
8. Watch out for high-pressure tactics. It's now or never…
9. Trust your instincts and pay attention to rumors. Where there is smoke, there is fire.?
10. Be skeptical of individuals claiming sudden health issues to delay progress.
11. Beware of investments portrayed as the final key to unlocking business success.
12. Investigate the legitimacy of their core and legal team. Doxxing.
13. If it sounds too good to be true, it probably is.
14. Assume those around them are either accomplices or victims. Community is the utility rings a bell here.?
15. Be cautious if shady characters are involved.

In my case, I paid a hefty price for a valuable lesson, which I keep as a "diploma" of sorts. However, several years later, I can't help but think of this scam almost every month and how this is still happening throughout Web3.

Sadly the crypto world is no stranger to nefarious characters, scams, and rug pulls, and these patterns most definitely apply here too. Let's stay vigilant, share our experiences, and clean up the industry once and for all.

Invest wisely and always do your own research (DYOR).

#Investment #Scams #Ethics #Web3 #Crypto?