The cryptocurrency world offers exciting opportunities but it also comes with serious risks. Over the past decade, crypto scams have cost investors billions of dollars across the globe. From Ponzi schemes and rug pulls to exchange collapses and influencer manipulation, crypto scams are evolving fast. In this blog post, we’ll look at the top 10 biggest crypto scams in history and how modern wallet features like fraud detection, real-time alerts, and smart contract analysis can help everyday users stay safe without needing to be tech experts.
Table of Contents
1. One Coin – The Billion-Dollar Ponzi Scheme
OneCoin was one of the most notorious crypto scams ever, stealing over $4.4 billion from investors worldwide. Created by Ruja Ignatova, “the Cryptoqueen,” OneCoin didn’t even run on a real blockchain. It was a pure Ponzi scheme disguised as a cryptocurrency. These days, using a wallet that offers contract transparency checks and verification tools helps users spot fake tokens early before they fall into the trap.
2. BitConnect – The Exit Scam That Shook the Industry
BitConnect became one of the most infamous crypto scams due to its fake trading bot and impossible returns. Users were promised high daily profits, but the entire system collapsed when regulators stepped in. Thankfully, some wallets now come with AI-based risk detection that learns from past scam patterns and sends alerts when you’re about to interact with something similar. It’s like having a mini fraud analyst built into your wallet
3. FTX Collapse – A Trusted Name Turned into a Global Fraud.
While FTX wasn’t an obvious scam at first, its shocking collapse due to misuse of customer funds has placed it among the largest crypto scams ever, with $8–9 billion in losses. This reminds us that trust alone isn’t enough. Many users are now switching to self-custody wallets with built-in swapping and staking to avoid depending on centralized exchanges altogether. More control means fewer surprises
4. PlusToken – The Mobile Wallet That Robbed Billions
PlusToken scammed users out of over $2 billion, pretending to be a high-yield wallet app. It’s a classic example of how even mobile wallets can be part of crypto scams. Modern wallets now include transaction simulation and approval warnings, alerting you before you unknowingly hand over control of your funds. That’s a huge step forward in protecting users
5. Mt. Gox Centralized Failure That Changed the Industry
Though more of a security failure than a scam, Mt. Gox paved the way for many modern crypto scams by showing just how dangerous centralized exchanges can be. Today’s wallets include hardware wallet support and multi-layered encryption, giving users peace of mind that their funds are far less vulnerable to breaches or mismanagement.
6. Terra/LUNA – When Poor Design Becomes a Financial Disaster
The Terra and LUNA collapse wiped out over $40 billion in value. While not technically one of the intentional crypto scams, its design flaws caused devastating losses. Smart wallets now offer real-time token analytics, flagging suspicious volatility, sharp supply shifts, or risky behavior helping you step back before you step in.
7. Squid Game Token – Pop Culture Meets Rug Pull
One of the most bizarre crypto scams, SQUID token used a hit TV show’s name to lure investors, but didn’t let anyone sell. Classic rug pull. Now, smart wallets can scan contract functions and immediately warn you if a token disables selling or includes suspicious restrictions. A simple alert could have saved many from being trapped.
8. Thodex – Exchange Scam from Turkey
Thodex disappeared with $2 billion in investor funds when its founder vanished. Another painful reminder of the risks tied to centralized platforms. With non custodial wallets that support decentralized trading, you don’t have to hand over your assets to an unknown party just to make a transaction. You stay in charge, always.
9. Africrypt – When Founders Flee with Your Crypto.
Africrypt’s saw two brothers vanish with billions in Bitcoin. It’s one of those crypto scams that looked too good to be true and was. Wallets with behavioral analysis tools can help spot unusual patterns in wallet activity and send alerts if something doesn’t look right. Think of it as background checks for your on chain interactions.
10. Save the Kids Token Influencer-Driven Manipulation.
Save the Kids was hyped by influencers claiming it was charity-focused but it ended in a pump and dump. Influencer-driven crypto scams are becoming more common. Smart wallets now monitor token dumps and creator activity, flagging projects where large holders (often influencers) are cashing out right after launch. That kind of visibility puts power back in your hands
Conclusion
Crypto scams have drained tens of billions from users, but most of them showed warning signs that are easier to catch today. Whether it’s a fake trading bot, centralized exchange fraud, or influencer manipulation, every one of these top 10 crypto scams could’ve been spotted with.