Crypto scams are evolving, and one of the most common threats we’re seeing at the moment are fake tokens. These scams can trick you into buying worthless tokens, trap your funds in honeypots, or even compromise your wallet. Here’s what to watch out for:
⚠️ Please Note (TL;DR)
This guide is primarily for users trading via software wallets or decentralized exchanges (DEXs). Centralized platforms like Cointree only list verified assets, so these types of scams do not apply when buying directly through Cointree. However, if you use external wallets or connect to third-party platforms, this information is important to help protect your crypto.
1. Fake Tokens That Impersonate Real Projects
Scammers copy popular token names, tickers, and logos to trick users into buying lookalike tokens. These fakes might even appear in your wallet or DEX results.
✅ Always verify the token’s contract address using official project websites or trusted sources like CoinGecko and CoinMarketCap.
2. Honeypots – You Can Buy, But You Can’t Sell
Honeypot tokens are designed to let you buy, but block all sell transactions. You get stuck with worthless tokens while the scammer drains liquidity.
✅ Be suspicious if the chart shows only green candles or your sell fails. Use tools like Token Sniffer to check before trading.
3. Malicious Smart Contracts & Approvals
Some scam tokens include dangerous contract code. Just by approving them, you may grant access to your real assets.
✅ Never interact with surprise tokens or unknown DApps. Always review approval prompts and regularly check your wallet permissions (via revoke.cash or Etherscan).
✅ There are tool/extensions that can help warn you before you approve a risky transaction. They work as browser extensions that show you exactly what you're signing which could help prevent costly mistakes
🔒 Quick Reminders
- Don’t send tokens to strangers, even if they claim to be support or a trusted figure.
- Never share your secret recovery phrase or private keys. No legitimate service will ask for them.
- Never ever allow remote access to your device or wallet. Scammers may use this to take full control of your funds and device.
✅ Stay Safe: Quick Checklist
- ✔️ Verify token contract address on official sources
- ✔️ Check volume, liquidity, and number of holders
- ✔️ Be cautious of low-liquidity or new tokens with high promises
- ✔️ Use revoke tools to manage wallet approvals
- ✔️ Don’t trade random airdropped tokens
- ✔️ Never share your seed phrase or private keys or screen