According to a new warning from the SEC, there are six key “red flags” for which cryptocurrency investors should be on the lookout. They all sound incredibly obvious, but don’t be fooled. The crypto scam space is full of bizarre tricks.
Let’s start with the SEC’s warnings. First off, there’s the classic, impossibly fulfillable “guarantee” of a high return attached to a minimal risk investment. One of the basic standards of investing is that the higher your potential return, the more risk you’re assuming with your money. If investing was really no risk, all reward, we’d all be rich by now.