With my little experience so far, I have come to realize that most crypto projects that promise Investors excessive returns on their Investment eventually turn out to be scam.
I once participated in a a certain project that was giving Investors about 5 times (5×) bonus during their presale. The team kept postponing the exchange listing date until everybody got tired of them and realized that, it was a scam project. When the complaints on the Telegram group became too much, the project team just abandoned the group, leaving Investors with bot.
1. So as a new trader, it is always important to do your own research before any Investment with any upcoming crypto project.
2. Invest what you can afford to lose
3. Try to avoid some of these projects with that promise outrageous profits on investment, most of them are not realistic. How can you expect 300,000% annual percentage yield from a new project?
It's true that irrational profits have the potential for fraud, I used to take part in a mining project on the web with a return of 30% per week, for the first week I got what the developer promised, and after that time I added value to increase income but at the end of the 2 weeks I can't withdraw, and at the last announcement it turned out that it was a fraudulent project used by scammers to make a profit.
things like this really have to be reminded of beginners who are easily attracted to fast and big income without reading first.