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NFT Fraud: How to Protect yourself

Analytical company Chainalysis announced the total amount of crypto assets stolen by fraudsters in 2021 – $ 14 billion. What proportion of this amount is accounted for by NFT fraud in the total structure of stolen digital assets are not disclosed, but there is no doubt about its significance. In today’s article, we understand how we can protect ourselves.

Why NFT Fraud Is So Common

In 2021, the growing NFT market is filled with newcomers with minimal knowledge of methods to protect against intruders. They are primarily targeted by well-established phishing schemes.

If earlier scammers were interested in dollars or euros, now they are more interested in bitcoins, ether and NFTs stored in digital wallets. This is not surprising, because in 2021 alone (compared to 2020), according to Chainalysis, the global volume of transactions with digital assets increased by 567% (by $ 15.8 trillion).

Many beginners do not pay due attention to security issues before diving into crypto trading. There is an opinion that the trading platform should worry about fraud protection.

This is partly true. Large exchanges (Binance, Coinbase Exchange, FTX), exchangers (Prostocash, Xchange. cash), and other blockchain services annually invest heavily in improving their services. But they cannot foresee everything.

Effective mechanisms for improving the security of digital asset storage and trading are known. They should be used by anyone who does not want to replenish the sad statistics of cybercrime at their own expense.

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