A Cardano ambassador has issued a critical warning to ADA investors regarding a alarming increase in scams targeting the Cardano community. The warning message comes as anticipation grows for the upcoming Chang’s hard fork approaches.
Cardano Ambassador Raises Awareness of Scams
In a recent X (formerly Twitter) job On July 13, Cardano community member and ambassador Pete alerted investors about a scam involving fake ADA giveaways. According to Pete, the next Chang Upgrade has attracted the attention of scammers looking to use the hype surrounding the hard fork to deceive and exploit investors.
The malicious scheme involves scammers posing as Charles Hoskinson, Founder of Cardano in a deceptive YouTube video. The fraudulent video featured realistic live footage that falsely showed Hoskinson announcing an ADA token giveaway, promising to double participating investors’ tokens.
In a screenshot shared by Pete, the scammers were shown organizing and promoting a fake 100,000,000 ADA event, urging investors to send between 2,500 and 500,000 ADA to a designated address. They deceptively promised that participants would receive double the amount of ADA tokens they sent.
Unfortunately, one investor fell into the trap scam and shared the incident with Pete. Believing it to be a real event endorsed by the Cardano Foundation, the investor sent 5,000 ADA tokens to the fraudulent address but never received the promised gift.
Given the potential harm these scams could cause to others community members, the ambassador strongly urged investors to Avoid falling for these fraudulent schemesHe stressed that the Cardano team did not issue any ADA giveaway and any video claiming this is a scam.
Because the Scams have been posted online via YouTubeMany members of the Cardano community have said that the popular online video-sharing platform should be held accountable. Pete also revealed In another article, the YouTube scam that was online has been officially removed.
Furthermore, he encouraged community members to actively participate report these scam attemptshighlighting their role in protecting new Cardano users and investors. Pete also warned investors to stay vigilant against such scam activities to avoid possible financial losses.
ADA Defense Mechanism Against Scams
In other X postPete revealed that the upcoming Chang hard fork and the bullish market sentiment have increased the number of scams targeting the crypto community. The ambassador revealed that Cardan had put in place some protection mechanisms within the community to protect investors from scams.
He mentioned the Cardano Shield, which has been integrated into the Gero Wallet and the Begin Wallet. The shield is an advanced security solution that offers investors premium protection against phishing threatsscams and risks associated with Cardano-based interactions.
Pete also noted that SlowingPains, a Web3 insurance ecosystem on the blockchain, is working on a cybersecurity insurance product that helps mitigate financial hardship from scams and crypto carpet pullWhile highlighting all these innovative strategies and defense mechanisms to protect Cardano investors, Pete also revealed that the best defense for investors against scams is education and awareness.
Featured image created with Dall.E, chart by Tradingview.com
