We work with investors in Bitcoin and other cryptocurrencies, who suffered losses as a result of misconduct by third parties. Such misconduct could range from inappropriate investment recommendations to hacking to theft or fraud.
Bitcoin is a virtual currency, or cryptocurrency. It was designed as a worldwide payment system. Due to the exponential increase of its value over the past couple of years it has garnered increasing interest from retail investors.
Bitcoin is the first decentralized digital currency, as the system works without a central bank or single administrator that may be traded on online exchanges for conventional currencies, including the U.S. dollar, or used to purchase goods and services online.
In recent years, Bitcoin has emerged as a more widely-accepted form of currency for established online retailers but has also expanded feverishly amongst investors seeking alternatives to traditional securities and investments.
Unfortunately, Bitcoin has also come to the forefront as an investment product associated with fraud and investment schemes, and has also been abused and associated with criminal activities.
The following are amongst the largest known risks to selling, buying and using Bitcoin and other cryptocurrencies:
- Bitcoin payments cannot be reversed.
- Once you a transaction is completed, it cannot be reversed.
- Purchases can be refunded, but that depends solely on the willingness of the issuers or sellers.
Platforms that buy and sell bitcoins are susceptible to hacking, and some have failed. In addition, like the platforms themselves, digital wallets also are at risk to hacking which can easily lead to consumers losing money.
Bitcoin transactions can be subject to traditional fraud and theft and a fraudster could simply pose as a Bitcoin exchange, Bitcoin intermediary or trader in an effort to lure you to send money. Unlike US banks and credit unions, Bitcoin and digital wallets provide no certain guarantees of safety to depositors such as FDIC. Similar to any speculative alternative investment, profits or losses of Bitcoin and other cryptocurrencies are virtually impossible to predict. Such products, used as investments, are extremely risky.
If you believe you may have lost money in Bitcoin fraud or cryptocurrency schemes please contact us for a free, no-obligation consultation regarding your legal situation and potential recovery options, by phone at 888-998-0530, via email at email@example.com, or through the contact form on this page.