Cryptocurrency scams have become more advanced, more personal, and more deceptive than ever before. At Refund Agency, we’ve seen thousands of victims fall into the same manipulative process—often starting with a simple online investment and ending in total loss. This article explores the most common fraud scheme, how it works, and what you need to know to protect yourself.
We currently handle over 2,000 active recovery claims related to broker and trading scams, with combined losses of more than $24.2 million USD. Some of our clients have been targeted more than 7 times, with individual losses exceeding $250,000 USD.
How It Begins: The Broker Illusion
Scammers operate under the disguise of investment firms, crypto brokers, or trading platforms that appear completely legitimate. They advertise using fake reviews, cloned websites, and even social media endorsements. Their goal is simple: build trust, secure your deposit, and keep you investing.
Most victims are given access to fake dashboards that simulate live trading activity. You’ll see growing profits, successful trades, and charts moving in real time—but none of it is real. These are visual imitations, created solely to increase your confidence and convince you to invest more.
In many cases, when trading platforms are unable to meet specific regulatory or compliance requirements, such as submitting the source of funds or investment history, the transaction process may become delayed or interrupted. This does not necessarily indicate wrongdoing, but it does prevent the standard withdrawal process from continuing as expected.
At that point, the situation may shift into a review or recovery phase, where further verification is required to assess the legitimacy of the activity and secure any remaining funds.
As part of our work at Refund Agency, we use blockchain analytics to identify wallet addresses and transaction patterns that have become associated with pending investigations, flagged exchanges, or platforms with a history of non-compliance. This allows us to notify potentially affected parties whose transactions may be linked to these networks.
If you’ve received messages indicating that your funds are “held,” “suspended,” or “under review,” it may be due to such compliance gaps in the original transaction process. Our role is to help clarify this situation, provide transparency, and offer a structured path toward recovery — should the evidence support it.
What Makes It Worse: Swap Commissions & Fake Legal Fees
Another trick used in these scams is the application of «swap fees» or liquidity commissions»—ridiculous charges often exceeding your entire balance.
Imagine this: you are trying to withdraw $10,000, and the broker demands a $16,000 commission.
Here’s the truth:
- Crypto is not taxed upfront.
- No official platform requires payments for withdrawals.
- Blockchain doesn’t block profits—it tracks transactions.
- Any “commission payment” requested in advance is a red flag.
Yet thousands fall into this trap, especially when already emotionally or financially invested.
The Recovery Scam: A Second Blow
Worse still, many victims are scammed again—this time by companies or individuals pretending to be recovery experts. They often say:
“We’re working with regulators to release your funds.”
“All we need is a small activation payment.”
“We will whitelist your wallet to complete the compliance.”
It’s a scam within a scam. They use your desperation and fear to manipulate you into sending more funds, often under the illusion that you’re about to get everything back.
At Refund Agency, we call this the recovery manipulation loop—and it’s one of the most harmful traps we see.
What to Do If You’ve Been Targeted
- Stop All Communication
If the broker or platform is still contacting you, cut ties immediately. Every new message is another manipulation. - Don’t Send More Funds
No payment, tax, or gas fee is required to “unlock” your assets from a legitimate blockchain process. - Get a Professional Review
Contact a regulated and transparent firm like Refund Agency. We offer free consultations, and we work on success-basis. - Save Your Records
Keep all wallet addresses, emails, chats, transaction hashes, and login data. Every detail helps with the investigation.
Scams like this thrive in silence. But you are not alone. Over 2,000 people are currently working with the Refund Agency to claim what was taken from them.
Don’t wait until it gets worse. If you have any doubts, reach out. Let’s take the first step together.
We don’t just try — We deliver!