These scammers employ a range of deceptive strategies to build trust and lure victims, such as promising huge returns, offering referral bonuses, or saying deposits will be doubled once a platform is officially launched. These tactics are deliberately designed to create a false sense of urgency and legitimacy, ultimately pressuring users into making financial commitments that result in loss. Example for scammers pretending to be customer service agents from well-known platforms5.

Due to its simplicity and accessibility, copy trading is hugely popular among beginner traders looking to learn the ins and outs of crypto trading as they study the reference trades of lead traders while enjoying gains thanks to mirrored trades. While popular for its simple one-click approach towards trading, one of the more notable risks involved with copy trading is that followers develop an over dependence on lead traders.