Vaultoro Gold Scammers
Published on

Rising Gold Price Brings out Scammers Looking to Defraud Novice Investors

Rising Gold Price Brings out Scammers

When the value of precious metals rises, investors need to beware. Several individuals claiming to be legitimate gold traders are looking to dupe investors across the United States and beyond. 

The Fake Gold Trader Scammers

With the price of gold recently going through a very bullish period, everyone is interested in this precious metal. Trading gold, which can be done on Vaultoro, is gaining popularity once again. It is a bit unclear if the novel coronavirus outbreak is fueling this sudden demand. One thing’s certain” traders are diversifying their portfolio once again.

As demand rises, and the gold price does too, investors need to beware. A growing network of scammers is trying to dupe American traders. These scammers will position themselves as gold traders, yet they are simply looking to steal money from unsuspecting victims.

This particular method of a scam is not new. Over the years, the gold industry has noted ample fraudulent approaches reported by clients. Every time the price of gold rises, these scammers will crawl out of the woodwork. This trend will not necessarily change anytime soon either. Instead, it seems that the opposite is coming true.

Spotting the Scams

So far, several types of fraudulent approaches have been noted. Most of them occur over the internet, which is logical. People appear to be too trusting online, especially when big money is involved. 

Any off-market product being offered to investors needs to be scrutinized. The same goes for excessive spreads – both for buying and selling. Last but not least, no one should pay upfront for goods or services without having some confirmation of the item being shipped.

Rising gold prices tend to attract a lot of uneducated traders. The demand for gold bullion coins tends to increase during these periods. A lot of low-value coins will suddenly be overpriced, in an attempt to defraud unknowing investors. Conducting one’s research is crucial when finances are involved, regardless of the asset in question.

Another common scam is known as the “empty vault”. Fake gold dealers claim to provide safe storage for gold owned by the investor. In reality, these vaults do not exist, thus any bullion being transferred will be lost forever.

On a global scale, these scams can prove to be extremely successful. Millions of dollars are lost to scammers every year. With the current gold price, it seems plausible to assume that the number of scam attempts will only increase. For investors and traders, that means being on one’s toes is of the essence.

vaultoro logo clear

Store Crypto Profits in
Physical Gold


Trade Back to Crypto Anytime

Name Price24H %
bitcoin
Bitcoin(BTC)
$57,558.005.53%
ethereum
Ethereum(ETH)
$4,355.916.90%
litecoin
Litecoin(LTC)
$199.995.12%
dash
Dash(DASH)
$180.991.55%

Share

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on telegram
Share on whatsapp
categories

Related articles

What Is A Network Effect And Why Does it Matter?

The Magic Behind Asset Allocation and Diversification

What Is A Short Squeeze In Cryptocurrency?

The Standard Token Pre-Market Distribution for verified Vaultoro customers

What Are Hard And Soft Forks And Why Do They Matter?

What Is A Double-Spend Attack And Why Does It Matter?

Subscribe To Our Crypto Must Read Weekly Newsletter

How do people make money in the crypto space? They stay ahead of the crowd,

Vaultoro buy and sell gold bullion with bitcoin and crypto
Time for a new experience

Please choose