It is a well-known fact there are numerous scams active in the cryptocurrency industry. Whereas most of these focus on existing major currencies, it now seems certain stablecoins are also of great interest. For some unknown reason, there are Telegram channels and airdrops associated with the USDC stablecoin, even though Circle has confirmed all of these projects are completely fake.
Beware of the USDC Telegram Group
Over the past two years, most of the cryptocurrency-related scams have moved off to Telegram. Given the popularity of this particular social messaging platform, it is not entirely unusual to see that type of approach. Most cryptocurrency discussions and projects have an active Telegram group these days, thus it also makes sense criminals will try to get in on the action.
In the case of the USDC stablecoin, it seems there are a fake Telegram group and account associated with this project. Any information distributed by this channel or the user should be ignored, as there is a very good chance he or she is looking to steal one’s USDC balance. It is a bit unclear how this would work exactly, but there are plenty of creative scams on Telegram.
Airdrops Don’t Exist
In the world of cryptocurrency tokens and assets, there have been numerous airdrops which reward users in exchange for completing small tasks. As such, this method has become a lot more popular in recent months, primarily because it allows projects to grow their initial community without much effort. It would appear there are some fake USDC airdrops going around as well, even though none of them are genuine. Free money doesn’t exist, especially not where stablecoins are concerned.
At this time, it seems safe to assume most of the airdrops are promoted through the fictitious USDC Telegram group. There are also some bounties associated with this stablecoin, even though no one will ever receive any tokens later on. The end game of this scam is very difficult to identify at this point, other than perhaps giving this stablecoin a bad name when people start complaining about not receiving tokens or being scammed.
Circle is not Amused
It is rather apparent Circle doesn’t take too kindly to this particular scam involving fictitious USDC tokens. As the company is responsible for issuing this currency to its users, they do not want any negative press associated with USDC whatsoever. Unfortunately, it appears these fake airdrops and bounties are getting a lot of attention, despite the company talking about these problems back in November of 2018.
More Stablecoins to Follow?
Depending on the success of this malicious USDC campaign, there is a good chance other stablecoins will receive a similar treatment in the near future. Especially now that more of these fiat-pegged currencies are becoming more common and competition is heating up. It is not difficult to distinguish between fake and genuine projects in this industry. As far as USDC and other similar coins are concerned, there is no such thing as a free lunch by any means.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency or digital currency.