Investors globally are being targeted by cryptocurrency or Bit coin scammers. Cryptocurrencies or bit coins are not a regulated investment in the UK. Cryptocurrency trading between exchanges is not regulated/approved by the FCA. To prevent cryptocurrency investment scams, you need to know the ways in which investors are lured into such schemes. Regulated investments are necessary to prevent cryptocurrency scams. Investors should be aware of the regulatory instructions relating to cryptocurrencies and should know the risks and warnings relating to such investments: CFDs and initial sale of such coins. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essayHow does it work? Celebrity images are advertised with such offers on social media, or the company may adopt other advertising platforms to attract investors, and these ads are linked to reputed investment websites. Buyers are asked to make investments using cryptocurrencies or in other ways. Most of these companies say they have an office in London and may even provide an address for their London office. Such scammers use software to alter the prices and returns of such investments and can sell cryptocurrencies that don't exist at all. At any time, they remove the websites on which these offers are made and block the investor's account, refusing to deposit money into their accounts. They may not provide the initially stated profits or gains on such investments. Instead, they might ask target buyers to send more money to get the amount earned. Action Fraud has issued a notice to deal with inquiries relating to such frauds. How to prevent it? Don't invest online and don't be lured by advertisements that offer exceptional returns on cryptocurrency investments. The FCA does not authorize trading in such currencies and this means that the investment is not backed by the government, meaning that one may not recover money, if lost through the FSCS (Financial Services Compensation Scheme) or the FOS (Financial Ombudsman Service). . Cryptocurrencies are not supported or regulated by any government organization. Check the company's registration details to see whether it is a UK-based company or not. Look for questions and doubts posted by other investors, check the warning list and never invest in haste under pressure from the investor who claims to get huge returns for early birds. Don't believe money back guarantees and if you suspect a scam, contact 111 6768 (Consumer Helpline) immediately. In case you suffer losses in such investment and are unable to recover your money from the company, report it to the consumer helpline or file a complaint online. As these are not supported by UK government regulations, you may not get your money back, but the details you provide will help catch criminals.