Crypto Giveaway Scams Guide
Giveaway scams are commonplace in the crypto market. Learn how crypto giveaway scams work, the red flags to spot, and what to do to avoid giveaway scams.
Crypto giveaway scams promise free crypto if you send some first—it's a classic advanced fee scam in new packaging.
Scammers impersonate brands or influencers and use urgency to pressure victims.
Red flags include upfront payment, fake profiles, and sketchy links.
Avoid them by never sending crypto first and always verifying sources.
What are crypto giveaway scams?
Crypto giveaway scams are fraudulent schemes where scammers promise to "give away" free cryptocurrency in exchange for a small upfront payment. These scams often impersonate well-known figures or brands, like Elon Musk, Binance, or the Ethereum Foundation, and claim that if you send a small amount of crypto, you’ll get back much more in return.
The catch? Once you send your crypto, it’s gone for good. There’s no giveaway, no return, and no way to get your money back.
These scams have exploded in popularity on social media platforms like Twitter (X), YouTube, Telegram, and even on fake websites made to look official. Their whole goal is to trick users into sending real money to a wallet controlled by the scammer.
💡 Pro Tip: Crypto giveaway scams are just repackaged advanced fee scams. The trick is the same: you’re asked to send money first, with the promise of getting more in return. But the payoff never comes.
In the past, it might’ve been a fake lottery win or a bogus inheritance. Today, it’s a fake Elon Musk promising to double your crypto. Different packaging, same con. The bottom line? If someone says, “Send me money and I’ll send you more,” it’s a scam.
Read next: Common Bitcoin Scams
How do crypto giveaway scams work?
These scams usually follow a simple, repeatable pattern:
Fake promotion or announcement: Scammers create fake social media accounts or websites posing as influencers, companies, or official organizations. They announce a "limited-time giveaway" that seems urgent or exclusive.
Impersonation of credibility: They often use stolen profile pictures, verified checkmarks (or fake ones), and realistic branding to appear legitimate. Some even reply to actual posts or videos to boost visibility.
Call to action: The scam tells you that if you send a certain amount of crypto—say 0.1 ETH—you’ll receive 1 ETH in return. They might say it’s a promotional offer to "celebrate a milestone" or "reward loyal followers."
Wallet address and instructions: You’re given a wallet address and told to act quickly. Sometimes, there’s a fake “transaction list” showing other people supposedly receiving their rewards to create the illusion that it’s working.
No return: Once you send your crypto, nothing happens. There's no reward. You can’t reverse a blockchain transaction, so your funds are lost permanently.
Read next: How to Avoid Crypto Scams
How to spot a crypto giveaway scam?
While scammers are getting better at disguising their traps, there are still telltale signs to look out for:
Too good to be true: No legitimate giveaway will ask you to send money first. If it sounds like easy money, it’s probably a scam.
Urgency and pressure: Scammers create fake deadlines like “Only 30 minutes left!” to push you into acting without thinking.
Fake accounts or impersonation: Look closely at the username, follower count, or post history. Scammers might use a slight misspelling or extra character in a name to mimic real profiles.
Unverified or dubious links: Links might redirect to lookalike websites. Always double-check the URL. Fake sites often end in weird domains or slight variations of real ones (e.g., "binanse.com").
Lack of two-way communication: Scammers don’t let you ask questions. If you can’t verify details, that’s a red flag.
No legal disclaimers or terms: Real giveaways often include terms and conditions. Scams don’t.
Read next: How to Report Stolen Crypto
How to avoid a crypto giveaway scam?
Here are some simple steps to protect yourself:
Never send crypto to get crypto: No legit promotion will ask for an upfront payment. Treat any request like this as a red flag.
Verify accounts and announcements: Cross-check any giveaway on the official website or social media of the company or person involved. When in doubt, don’t trust—verify.
Use trusted sources and platforms: Stick to known, reputable crypto services. Be cautious of random DMs or sketchy Telegram groups.
Educate yourself and others: Scammers prey on people who are new or uninformed. The more you know, the harder it is for them to trick you. If you see a scam, report it and warn others.
Use browser and wallet security tools: Some browser extensions and crypto wallets now warn you if a site or address is suspicious. Enable these features whenever possible.
Crypto giveaways might look tempting, but in the crypto world, there’s no such thing as free money. The best defense is a healthy dose of skepticism and a willingness to double-check before you send anything. Stay informed, stay alert, and help others do the same.
Losses can help your tax bill
While losing money to a crypto scam is always frustrating, especially as there’s often little chance of recovery, there is a small silver lining come the tax deadline. Depending on where you live, you may be able to claim your crypto as a capital loss and offset it against your gains to reduce your tax bill. Learn more in our guide on how to report stolen crypto on taxes, or sign up to Koinly free to calculate your crypto taxes.
