The world of cryptocurrency is anonymous and under-regulated, so there is always a threat of scams.
While the cryptocurrency world offers unprecedented possibilities, it is still vulnerable; as its anonymity is the perfect ground for different kinds of scammers. Indeed, it is not so simple to check whether a company or new currency is a scam as the sphere is almost unregulated.
An ICO is also vulnerable to various kinds of scams as it is used to get initial funding for new ideas. The companies announcing ICOs often have nothing but a barely working site and a dream. Does it mean they are scammers? Not at all, they are dreamers, sometimes living slightly apart from reality, but that is not a crime so far. And who knows, maybe those dreams are able to bring fortune someday?
When talking about ICOs, it is nearly impossible to track frauds or scammers. Nevertheless, investors better learn to play Sherlock Holmes, if they want to keep their money.
However difficult it is to discover tricksters craving your money, it is hardly mission impossible. Just keep your eyes open and switch on your brain.
Investors are looking for innovative projects able to revolutionize or at least disrupt the industry. But be honest with yourself, how often do new projects work without failure? So, if someone is promising sky-rocketing results and the overall idea seems absolutely smooth and perfect, that is a reason to take a pause for a thought.
Recently, there have been a lot of messages about World of Battles being a scam scheme. Coinidol has previously published an articleon their project. They promised 37% annual growth and a $2 billion market cap in 2018. Doesn’t seem like a fairytale, does it? Besides, the e-Sports industry is rapidly developing, so why not indeed?
However, recently, the web exploded with angry messages about the project being a scam. Some links didn’t work, there were no tokens distributed so far, no verified source code, and the address they use is a regular wallet, not a smart contract.
Moreover, the contact email of the World of Battles project is no longer available and there is no way to contact the team:
Be that as it may, there is still no actual evidence of World of Battles being a scam, however, those angry messages and the fact that the team of World of Battles no longer respond to the messages from news outlet should definitely make an investor think twice before contributing money, and investigate the case deeper.
Reputation is extremely important in the cryptocurrency world as anonymity requires trust, and reputation is the main ingredient of trust. It is the first thing any investor should consider before making any contribution.
On the other hand, startups are often too young to have a strong reputation as they are just entering the industry. That is why it is so difficult to expose an ICO scam. Nevertheless, Coinidol.com reminds all investors - the formula is simple - think, think, and think!