Top 5 NFT Scams – Including Bored Bunny NFT Scam

In today’s world, people are going mad about Non Fungible Tokens (NFTs). They create, trade, and make a lot of money from this non-fungible asset. This asset comes in all shapes and sizes like art, image, GIFs, music, video game items, collectibles, memes, virtual fashion, and more, and there are no strict dimensions to it.

NFTs are not just pieces of art that people are buying or holding for the sake of their interest. It’s a lot more than that. Now, small businesses are using NFTs as promotional tools for their marketing campaigns.

So, the global NFT marketplaces are encouraging people to create NFTs because it’s gonna generate revenue, and for creators, there is money to be made from NFTs. With so much monetary value and investment associated with it, there are gonna be scams for sure.

After knowing that, you might wonder about Can NFT be fake? How do I make sure my NFT is real and have I bought a fake nft on Opensea? And how to avoid nft project scams? Well, worry not, because here we’ll be telling you about NFT scams and what you need to know before you start buying these tokens.

So, without further ado, let’s jump right into this article. 

What Is An NFT Scam?

Where there is an investment, there are risks associated with it. No matter whether you are doing it physically or it’s done online, scams are everywhere.

For instance, in the case of NFTs, there are marketplaces publishing the sites, where scammers create websites just like the authentic ones. They dupe the visitors into sharing their confidential details like their crypto wallet private key on those websites. The visitors end up losing their wallets. And unfortunately, there’s no real way to get that money back.

NFT scam is not just related to stealing login credentials; it also works by tricking you into believing that you made a legitimate NFT purchase. These cybercriminals are attracted by the monetary value of these digital assets, for which they use hacking techniques like social engineering and phishing to break into your accounts and steal your NFTs. 

Biggest NFT Scams

You are familiar with the hype of NFTs as this digital asset has grown exponentially and is now going for millions of dollars. But, with the growth in its market, there are potential risks of scammers stealing your wallets or NFT money. The scammers usually take advantage of relatively new buyers who are unaware of such scams.

We’ve got a detailed explanation of a few common NFT scams to save you from this. So, let’s take a look into it.

Rug Pull Scams

Top 5 NFT Scams - Including Bored Bunny NFT Scam

Have you ever heard of the term rug pull? Well, it’s basically a scam in which the promoters hype up their NFT projects on social media channels. Then, they stop backing the projects and take money from investors after the price has been dramatically driven up. The outcome is a sudden decrease in the price of NFT, and at a point, it falls to zero, causing a loss for the investor.

It has a variant, too. It makes the investor unable to sell the NFT as the developer adds some kind of code in it that removes the ability to sell the token. 

  • Pump-And-Dump Scam

When a group buys NFTs, the demand is artificially driven up; it is referred to as the Pump-and-dump scheme. This high demand lets the Naïve investors believe the NFTs have got some value, so they join the auction and start bidding more.

Once the bid is quite high, the scammers sell their NFTs off, and the buyers are left with nothing but a worthless asset.  

  • Bidding Scams

Did you know you can also get scammed when reselling your purchased NFT? Sadly, there are scammers everywhere, and they’ll scam you in different ways. 

One of them is a bidding scam which occurs when the investors are trying to resell their purchased NFTs in the secondary market. The bidders basically switch your preferred cryptocurrency with some less valuable currency without you knowing. And once you list your NFTs for sale, it leads you to potential losses. 

  • Phishing Scams

If we talk about the NFT phishing scams, it involves phony advertisements via Fake websites. In addition, it uses pop-ups that ask users to enter their private wallet key or security phrases.

Once you fall prey, they get possession of your wallet’s key, sneak into your wallet and delete all the cryptocurrency and NFT collection you have in it. And you end up left with nothing in your wallet. 

NFT Giveaways Or Airdrop Scams

NFT Giveaways Or Airdrop Scams

Here, the scammers position themselves as legitimate NFT trading platforms on social media to promote their NFT giveaway campaigns. 

They offer you free NFTs to promote their platform by sending messages and signing up to their website. After that, they ask you to link your digital wallet credentials in order to receive the prize NFT. In the meantime, they record what you have typed and use that to get into your account and steal your library of NFTs. 

You can also consider it a Metaverse Nft Email Scam because they are asking for your Metaverse details and asking you to link your email by signing up to their website. So they can access all the possible information about you and loot you. 

Bored Bunny NFT Scam

Did you hear about the NFT Bored Bunny scam and are asking yourself, is Bored Bunny NFT a scam? If that’s the case, you should know that this NFT has now been declared a Rug Pull scam.

Bored Bunny NFT was promoted by many celebrities like Chantel Jeffries, Floyd Mayweather, and many more. But just after a few weeks of its launch, it started to look like a scam. And that too because of its own moderators and employees. Many of them started to post that the owner of the NFT was solely concerned with money, and the project overall looked like it would end up as a Rug Pull.

The important factor to be considered was that these moderators worked on various projects in the past and had many people backing their credibility. 

If you look at the NFT Bored Bunny section on Opensea, you will see that there is only a single NFT on sale in each section, and that’s gross. That doesn’t look like a normal NFT by any means.

However, there are still many guys out there still defending this project. Any guesses, why? Just because they are hoping to get a few bucks out of it. In addition, their Twitter account is acting like there’s nothing wrong and just ignoring all the concerns and complaints of the users.

As far as the owner is concerned, he is looking to do some damage control here by offering a free Bored Bad Bunny to the people who are already members of the Bored Bunny board. In the process, he is just ignoring all the question marks being put on him. As it’s not even a verified project on Opensea and what it’s portraying is that it’s just a Rug Pull, and he may be a fake NFT maker.

So, if you are considering investing in it, it doesn’t look like the way to go at all.

How To Tell If An NFT Is A Scam?

Have you ever wondered how to tell if an NFT is legit? First of all, always try not to invest in any of the NFT projects that are not verified on a trusted platform.

Then, you must have a price double-check. It means to compare the price of NFT offered to the price on a trusted platform. If the price is lower than what is listed on a trusted platform, it can be a scam.

How To Avoid NFT Scams?

Avoiding Rug Pull Scams

If you want to avoid this scam, the first thing you need to do is check the developer behind the project. You need to see whether they are bona fide developers with good reviews over social media or not.

If you see large followers but low engagement, it would be a bit suspicious. So, to avoid the risk, use burner wallets in which you can restrict the limit of funds you are going to use for purchasing a particular purchase.

Avoiding Pump-And-Dump Scam

Prevention is always better than cure. For you, it’s better to ensure everything before making a transaction to save yourself from getting scammed.

It would be great if you review the NFT’s transaction history and the developer’s contact information. Transactions that are around one date could spot a pump and dump scam. 

Avoiding Bidding Scams

To avoid the bidding scam, before selling, make sure to double-check the cryptocurrency used. For additional information, you can read our article on how to sell an NFT.

Avoiding Phishing Scams

If you don’t want to fall prey to such scams, always ponder carefully. Do not give your wallet’s key or security phrase on pop-ups or any suspicious websites.

Always make sure to go to only the authentic websites whenever doing crypto transactions, and avoid using links, pop-ups, or your email to enter your wallet’s key information.

Avoiding NFT Giveaways Or Airdrop Scams

Who doesn’t like free giveaways? Everyone does, right! But before you get into anything, verify the account by double-checking its social media page. You can also ensure if it’s legit by checking the link sent to you makes with the company’s URL or not.

Outro

Top 5 NFT Scams - Including Bored Bunny NFT Scam

Summing it up, You always need to be careful whenever dealing with NFTs to avoid any kind of scams. You know scammers are everywhere where there is some kind of monetarily value related to any asset. 

Before reading this article, your head might be stuffed with many questions regarding NFT scams, like what they are and how to avoid falling prey. And most importantly, are the Bored Bunny NFTs really a scam.

Well, here, we’ve tried to tell you all the details you needed to know, from telling you about NFT scams to letting you know the best ways to avoid them. We hope you are left with no queries, but you can let us know anytime if there are still any. 

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