Even if Bitcoin holders use private key encryption to verify their identity and record their transactions, fraudsters and scammers can try to sell fake bitcoins. For example, in July 2013, the SEC took legal action against a Bitcoin-related pyramid operator. Cases of Bitcoin price manipulation which is another common form of fraud, have also been documented.
- CandleFocus Editor
Bitcoin Fraud Risk:
Learn how to ensure the security of your Bitcoin activity and how to avoid deception and price manipulation.