BBB Alert: How to Spot and Avoid TikTok Money-Flipping Cons and Cryptocurrency Scams

Money-flipping scams and cryptocurrency investment scams are among the most common scams consumers may encounter on social media platforms such as TikTok.  Just recently, the Better Business Bureau (BBB) issued an alert warning internet users about these cons.

Since 2020, the consumer protection agency said it received over 4,000 reports about investment scams, many involving cryptocurrency. While scammers used to rely on building trust over time through romance scams, they now use social media platforms to target more victims quickly.

TikTok has become a hotbed for these scams, according to the BBB Scam Tracker, with users frequently reporting being duped into fraudulent cryptocurrency investments.

How The Scam Works

So, you are browsing through TikTok like usual. Suddenly, you receive a direct message from a stranger with a seemingly fantastic investment opportunity.

The TikTok user profile looks real, and they may even link to a professional-looking website. In some cases, you might even see videos of them flaunting piles of cash, claiming you, too, can achieve the same results by investing in crypto.

Curious, you engage with the person. They tell you that for just a few hundred dollars, you can double or triple your money within a few days. It sounds like a great deal, so you decide to try it.

At this point, they ask you to move to a different messaging app and send money through a digital wallet service or purchase cryptocurrency to transfer to them. They assure you that your investment will grow immediately.

When you try to withdraw your funds, however, the scammer says you have to pay some fees.

“Unfortunately, these fees are fake, and any money you send will end up in the scammer’s pockets. You won’t be getting a return on your investment, and you won’t be getting your initial deposit back either,” the BBB warned.

Related articles: Top 10 TikTok Scams to Look Out For

 Real-Life Example

Here's a report from a victim who shared their story the BBB:

“I was asked by a women on TikTok if I was interested in investing. I told her yes but I was skeptical. She assured me she worked for a legitimate company. I trusted her and proceeded with a $500 investment through bitcoin to an account with [company name redacted]. I was told after 24 hours I could withdrawal my profit. I had to pay 30% fee of $2150 then it would be deposited in my bank account in 24 hours. After 24 hours I received an email that I had to pay a “gas fee” of $4250. At this point I knew it was a scam...”

How to Avoid TikTok Cryptocurrency Scams

1. Never trust too-good-to-be-true investment offers: If an investment promises massive returns with little effort, it's likely a scam.
2. Research investment opportunities before you commit: Before engaging with anyone on TikTok, research their name, phone number, or company online. The investment industry is highly regulated—if they’re not registered with agencies like the SEC, that’s a red flag. You can also check BBB Scam Tracker for complaints.
3. Beware of high-pressure tactics: Fraudsters will push you to act fast or threaten legal action if you don't pay their fees. Stay calm and don’t rush into anything.
4. Watch out for red flags: upfront investments, urgency, and clickbait promises.
5. Report: Notify TikTok of suspicious accounts or fraudulent content 
6. Use Scamio, a scam detection tool, to help identify potential cryptocurrency investment scams in TikTok videos and comments.

If you suspect someone is trying to scam you, or a website looks suspicious, check it with Scamio, our AI-powered scam detection tool. Send any texts, messages, links, QR codes, or images to Scamio, which will analyze them to determine if they are part of a scam. Scamio is free and available on Facebook Messenger, WhatsApp, and your web browser. You can also help others stay safe by sharing Scamio with them in France, Germany, Spain, Italy, Romania, Australia, and the UK.

FAQs

How can I spot a cryptocurrency scam on TikTok?
Be cautious of offers promising quick, guaranteed profits with little to no risk. Scammers often create urgency to pressure you into acting quickly.

What should I do if I’ve been scammed?
Report the scam to TikTok and file a complaint with the FTC, BBB, or local law enforcement office. You should also contact your bank or digital wallet provider to check if you might be able to recover a part of the funds.

Are all cryptocurrency investment scams?
No, not all cryptocurrency investments are scams. However, you need to research the company and ensure they are registered with proper regulatory bodies. Be cautious of anyone offering guaranteed profits.

How can I avoid falling for cryptocurrency scams on TikTok in the future?
Always be skeptical of unsolicited investment offers, especially those on social media and any unsolicited messages – Use Bitdefender Scamio to check for potential scams, including any investment opportunity requests you may receive online. Always research companies thoroughly and consult with a certified financial advisor before investing.