Anyone can create a token named 'Bitcoin' on a blockchain like Ethereum or BNB using smart contracts. But that's a different kind of scam. But the fake Bitcoin that I want to talk about, is actually created by some exchanges themselves!
Let me tell you. Bitcoin has a limited supply - only 21 million. Moreover, with the rise in popularity of BTC and the fear of hacking on various exchanges, more people than ever have started keeping Bitcoins in their wallets. As a result, the amount of BTC deposited in the exchanges is decreasing every day. Everyone knows that BTC is the most popular trading pair with any other crypto. But if the exchange doesn't have bitcoins, their business will go downhill.
That's why some exchanges have created their own coins with the same value as real Bitcoins by placing stablecoin collateral with bitcoin equivalents! Since exchanges do not immediately add crypto trading on their platforms to the blockchain, this leverage is difficult or almost impossible to capture. Because, common users don't understand anything.
But what is there to worry if the daily activities of the users are not disrupted? Of course there is. Exchanges that make fake bitcoins are really weak exchanges! And, trading in such an exchange is very risky! Therefore, it is better to do most of the transactions on the top exchanges according to the exchange rating on the Coinmarketcap site!
Yes, it is possible for exchanges to create fake bitcoin but the question is that, will that fake bitcoin enter another person wallet when it is sent to the receive? because in any transaction process there must be a sender and receiver who receive the coin in his or her wallet with the total figure written in it but i don't think the fake bitcoin can be seen in the recipient end or wallet. therefore, dealing with such scammers should be cautioned. the 21 million btc is a very big amount of money so for that number to be absorb by the users because of fear keeping it in their wallets might not possible because, the users who keep the btc in their wallets must eat, wear clothes and do other necessary needs in the society, so people must do exchange everyday day and every night. Most people rely only on bitcoin for survival as it is. the 21 million is always in circulation. the day when bitcoin stopped moving or in circulation, there will a very big problem in the whole world. Warning be careful with your transactions always.