Fake Crypto Exchange: How to Spot Scams and Avoid Losing Money

When you hear fake crypto exchange, a fraudulent platform pretending to let you trade digital assets while stealing your funds. Also known as sham exchange, it’s not just a glitch—it’s a carefully designed trap that targets beginners and experts alike. These platforms look real: they have clean websites, fake testimonials, and even fake customer support. But they don’t hold your crypto. They just take it and vanish.

Most crypto scams, fraudulent schemes designed to trick users into sending cryptocurrency with no chance of return follow the same pattern. They promise impossible returns—"double your money in 24 hours"—or claim to be listed on major exchanges like Binance or Coinbase when they’re not. Some even copy the exact design of real platforms, changing just one letter in the domain name. Bitrecife, Cougar Exchange, Boboo, and Unbound NFTs aren’t real platforms—they’re names used to lure people into sending funds to wallets controlled by criminals. These aren’t isolated cases. In 2025, over 70% of reported crypto losses came from users trusting fake exchanges that looked legitimate.

What makes these scams so dangerous is how they use crypto fraud, the deliberate deception of individuals to obtain cryptocurrency through false promises or identities to exploit trust. They create fake airdrops, fake support chats, and fake YouTube videos showing "proof" of profits. They even hire people to post in Reddit threads and Telegram groups saying, "I made $5,000 here in a week!" But when you try to withdraw? The site goes down. The support email bounces. Your funds are gone. And there’s no regulator to call—because these platforms operate outside any legal system.

Real exchanges have audits, licensing, and public records. Fake ones have nothing. No team names. No physical address. No history. If you can’t find a clear, verifiable company behind the platform, walk away. Look for the red flags: no KYC, no withdrawal history, no real user reviews outside their own site, and a domain that’s only been registered last month. These aren’t just warnings—they’re guarantees you’re dealing with a scam.

There’s no magic trick to avoid fake crypto exchanges. But there is one rule that works every time: if it sounds too good to be true, it is. The best protection is knowing what real platforms look like. Stick to ones with years of history, clear regulatory status, and active communities. And never, ever send crypto to a platform just because a video or ad told you to.

Below, you’ll find real case studies of fake crypto exchanges that stole thousands from real people—and exactly what to look for so it doesn’t happen to you.