Cryptocurrency has moved from the fringes of finance into the mainstream. Bitcoin makes headlines regularly. Digital assets are discussed at dinner tables. And for many people, crypto represents innovation, opportunity and the promise of something new.
In 2025, approximately 28% of American adults — about 65 million people — owned cryptocurrencies, according to Security.org. Unfortunately, that growing interest has also attracted scammers.
What is Cryptocurrency?
First, let’s understand more about cryptocurrency.
At a high level, cryptocurrency is a form of digital money designed to exist entirely online. Unlike traditional currency issued by governments, cryptocurrencies operate on decentralized networks using blockchain technology.
Bitcoin was the first and remains the most well-known cryptocurrency, but thousands of others now exist. Prices can fluctuate significantly based on market demand, news and investor sentiment. For many individuals, this makes cryptocurrency both appealing and risky.
Because cryptocurrency transactions are often irreversible and can move across borders instantly, they have become attractive targets for scammers. Understanding how crypto works — and just as importantly, how legitimate crypto transactions typically occur — can help individuals recognize when something does not add up and avoid costly mistakes.
Examples of Cryptocurrency Scams
Financial institutions across the country are seeing a steady rise in cryptocurrency-related fraud attempts, many of them carefully designed to look legitimate and to pressure individuals into acting quickly. One recent situation at our Julington Creek branch shows just how convincing these scams can be and how slowing down can make all the difference.
A member arrived at the branch requesting to send an international wire transfer for $20,000. On the surface, it appeared to be a routine transaction. But as Artem, a Senior Relationship Specialist at our Julington Creek branch, began asking standard questions about the purpose of the funds, he began to observe some red flags. The member hesitated and offered only a vague explanation that the money was for property tax payments in Indonesia.
With patience and care, Artem continued the conversation. Eventually, the member shared the full story: He had been recruited by an online group offering Bitcoin at a steep discount — $70,000 per coin when the market price was hovering closer to $100,000. The opportunity sounded exclusive and time-sensitive, two hallmarks of financial scams.
Artem explained that Bitcoin pricing is consistent worldwide and that deeply discounted offers are almost always fraudulent. What began as defensiveness shifted to relief as the member realized he had narrowly avoided a devastating loss. The wire transfer was canceled, and the funds remained safely in the member’s account.
However, this was not an isolated incident.
“Unfortunately, we do encounter fraud attempts quite often,” Artem said. “While the $20,000 case was certainly one of the larger incidents, smaller scale schemes happen regularly and still pose serious risks to our members.”
In another example, a member came in to complete what appeared to be a routine $2,000 wire to a well-known cryptocurrency platform.
“Many representatives might have assumed it was a legitimate transaction, but I took a few extra minutes to ask additional questions,” Artem said.
That extra time revealed that scammers were directing the member to move funds overseas after purchasing crypto, using a fake trading platform that looked real but did not allow withdrawals.
“Because we slowed down and dug deeper, we were able to prevent this member from losing thousands of dollars,” Artem said.
How to Prevent a Cryptocurrency Scam
Like many other fraud attempts, crypto scams often rely on urgency, secrecy and the promise of guaranteed or discounted returns. These pressure tactics are designed to override common sense. That is why asking questions, verifying details and taking a pause are important.
“Whenever I encounter situations like this, I make it a priority to ask deeper, more thoughtful questions to ensure our members are protected,” Artem said. “That sense of purpose — knowing I can help someone avoid a life changing financial mistake — is what motivates me every single day.”
The impact of that care is felt long after the transaction is stopped.
“In fact, the member whose $20,000 we saved recently returned to personally thank us,” Artem said.
As cryptocurrency continues to evolve, scams will evolve with it. VyStar encourages members to be cautious of offers that seem too good to be true, resist pressure to act quickly and talk with a trusted financial professional before moving funds. When in doubt, just reach out.
VyStar is proud to partner with members to help keep their accounts safe. Learn more on our Fraud Protection webpage.
Five Ways to Avoid Cryptocurrency Scams
VyStar is here to help our members avoid financial scams. Here are some guidelines to remember when it comes to cryptocurrency.
1. Be wary of “guaranteed” or discounted crypto offers
Cryptocurrency prices are set by global markets and are the same no matter where you buy. Claims of exclusive deals, guaranteed returns or deeply discounted coins should be treated as serious red flags and avoided. It is important to be cautious of any deal that seems too good to be true — whether it is related to crypto or another financial opportunity.
2. Watch for pressure to act quickly or keep things secret
Scammers often create urgency, claiming you must act immediately or not tell anyone else. They may even encourage you to lie to VyStar or another financial institution about why you need funds withdrawn from your account. Legitimate investments do not rely on secrecy or rushed decisions. Remember to slow down, ask questions and take time before moving funds.
3. Verify platforms before sending money
Fraudsters frequently impersonate well-known cryptocurrency platforms using fake websites, apps or customer support channels. Before transferring funds, verify website URLs and contact details.
4. Be cautious with wire transfers and international requests
Requests to send funds overseas, especially via wire transfer, are a common tactic in crypto scams. Once sent, these funds are difficult or impossible to recover.
5. Talk with VyStar before moving money
Before investing in cryptocurrency or responding to an unexpected opportunity, reach out to us. A quick conversation with a trusted financial professional can help identify red flags and prevent costly mistakes. Remember: When in doubt, just reach out.