We Looked at the Evidence: Is Looksrare Legit or Scam?

Recently, Looksrare.biz service appeared, promoting itself as a platform where you can securely store cryptocurrency and other assets. I managed to gather reliable evidence that clearly reveals it is, actually, a scam site.

Despite what Looksrare site states, they won’t return your funds. Despite the money displayed in the “member area”, there is zero ability to withdraw even a coin. All commitments regarding crypto incentives are hollow as well.

Looksrare Scam Overview

The key offering that Looksrare attempts to provide is a secure and user-friendly crypto wallet service. The website pledges crypto exchange facilities, tools for controlling wallets, transfers, dashboards, and the like. In reality, they endeavor to emulate the functionality of a crypto trading platform, like Binance or Coinbase. However, it in fact only serves as a shell needed to lull the vigilance.

Looksrare Scam

Initially, Looksrare mimics the layout of multiple similar websites. There are quite a few examples, like Marsbycoin, Wondcoin or Euphorioncapital. They are totally identical in terms of graphic elements, with minor discrepancies in the site header. Other details, and at times even crypto wallet addresses, are unchanged. Probably, all these fraudulent sites are managed by the same group of fraudsters.

Cryptocurrency Scam Summary

How the Looksrare Scam Works?

Looksrare is yet another webpage within a extensive network of linked crypto scam sites. The managers employ diverse brand names and websites, like Looksrare.biz, to trap victims. Nevertheless, these false sites have in common the same website designs, terms of service, and About Us content. This unveils their beginnings as a part of the same scam network, which endorses the identical type of scam under diverse appearances. The fraudsters just copy the same scam site under diverse names to deceive users into believing they are enrolling a fresh venture. However, in reality, it’s the identical group of swindlers orchestrating the fraudulent promises and efforts to take deposited funds. The operators skillfully make use of psychological tactics and appealing propositions to implement their unscrupulous plots.

Step 1: Spreading

To initiate the deceptive scheme, criminals set up and fill accounts on popular social media platforms. They generally aim at Facebook, Instagram, Twitter, and TikTok. Subsequently, the marketing campaign begins. Utilizing bots and sponsored ads (when possible), fraud actors increase the exposure of their scam activities to possible victims. This tactic allows them to cast a wide net and engage with their targeted audience. The group typically consists of cryptocurrency fans looking for prospects to make profits.

Step 2: Gaining Traffic

Users who express interest go to Looksrare.biz via links present in promotions or robotic posts. The website employs captivating visuals, design features that appear authentic, and assertions of possessing a valid license, all designed to convey an initial impression of reliability.

Step 3: Data Gathering

To collect their rewards, users need to deliberately sign up on Looksrare and receive instructions to submit sensitive and private data throughout the registration procedure. This includes linking their cryptocurrency wallets, sharing email addresses, supplying phone numbers, submitting identification papers, and more.

Step 4: Requesting funds

Once signed up, users notice significant amounts of cryptocurrency, valued at thousands of dollars, within their Looksrare wallets. However, as it usually happens with such incentives, you cannot withdraw them ahead of making a deposit. Normally, a funds transfer of $100 is asked to get the sign-up bonus. This prerequisite serves as the enticement that ultimately culminates to the money loss.

Step 5: Disappear

The instant the deposit is sent, the fraudsters terminate all interaction. They go ahead to block users, delete accounts, and abscond with both the transferred funds and essential personal details. The phony prizes remain perpetually uncredited, as they lack actual existence. They act purely as a fraudulent strategy. This technique forms the foundation for the fraudsters’ capacity to trick victims and embezzle hard-earned money through their duplicative web crypto scheme.

Signs of Scam

I gathered several facts that point at the scammy nature of the Looksrare.biz. Actually, there are a lot of scams that fall under the same points, so they are pretty much universal.

• Absent company details. Looksrare does not provide any documentation about its ownership, location or registration. No legitimate contact details are given either. Moreover, it appears that the domain and all social network pages were registered quite recently.
• Fake sponsorship from a celebrity. Scams like Looksrare like to pick a celebrity as a sponsor of this entire campaign. For obvious reasons, fraudsters generally choose Elon Musk, Jeff Bezos, Mr. Beast, Mark Zuckerberg, and similar celebrities. They do not disdain claiming partnership with a company as well. Even though Coinbase, Binance or MetaMask never heard of Looksrare, they do not care – this creates a halo of credibility.
• Potential Ponzi Scheme. The scam relies on a Ponzi-like referral system to spread reach through social media. In fact, only the first members will receive the payoff, at the cost of the money brought by other members.
• Hype without facts. Frauds can cheer up their victims from time to time, using claims about non-existent events. “We got contracts with Coinbase”, “Elon Musk mentioned us as the most prolific crypto project” – you could likely hear something like that. This is made to make people believe in their money return. This can be the sauce to make people top-up their accounts once again.
• Crypto-only incoming payments. Whether the user tries to top-up the account, hackers will only accept payments in crypto – no bank transfers or other payment methods. Such an approach completely hides the identity of the company and deprives you of the ability to ask for a refund.
• Claims are too good to be true. Let’s be sane and sober: even in crypto space, there are not many places where you can earn 50-100-200%. Being able to participate in all of them is nearly impossible, as well as it is impossible to insure or hedge all the risks. Even by that reason alone I can tell that the Looksrare is a definite scam.

What Should I do as a Victim?

If you had to deal with Looksrare site and fell victim to that scam, there are still some steps to take. They will make further scam attempts harder, and also boost the knowledge about that scam among folks.

• Secure Your Actions. Begin by promptly reporting the scam to appropriate local authorities tasked with handling financial fraud. Notify wallet providers and engage with social networks’ technical support teams. By taking these measures, you contribute to making the scammers’ operations significantly more difficult.
• Expand Awareness. Extend your efforts by sharing the scam information with your close friends. This action has a parallel effect to reporting to the authorities, as disseminating details about fraudulent crypto services reduces the potential victims they can deceive.
• Gather Evidence. Preserve comprehensive evidence by capturing screenshots and saving all pertinent data linked to the deceptive website. Collect the URL, screenshots of the main page, login interface, end-user license agreement (EULA), account top-up menu, and wallet addresses. These materials could prove invaluable for authorities in their pursuit of the scammers.
• Explore Refund Possibilities. While cryptocurrency payments generally fall outside the scope of refund policies within most banks, it’s worth investigating the potential for a refund in specific circumstances. Maintain optimism until you definitively confirm the loss.
• Convert Mistake into Wisdom. Transform your financial setback into a valuable learning experience. Treat your loss as an investment in understanding the tactics of crypto scam sites. Familiarize yourself with their key characteristics, how they lure individuals, and the grandiose promises they make. Armed with this knowledge, you’ll be well-equipped to recognize and avoid falling into future traps without incurring further losses.

Scan your system for possible malware infections

Beware of cross scams! Scam actors can use your trust to make you download some stuff or interact with certain documents. It may be a trap that installs malware to your system. There are no moral barriers or limits for these scoundrels.

Throughout the duration of the fraud, rascals may get in touch with you with specific documents. Alternatively, they may offer you to deploy “cryptocurrency wallet applications” or “browser extensions” to facilitate access to your crypto savings. As we already figured out, these deceivers have no intent of restoring your capital. So, what do these messages and browser extensions represent? Correct – this is another element of the scam designed to throw you into willingly installing malicious applications onto your device.

Both add-ons and attachments attached to email messages can function as a carrier for different malware. In this situation, I foresee the presence of spyware and stealers among other forms of malware. While it is not mandatory for scammers to distribute malware, the probability is always existent. As stated, their morality is of negligible importance, and their dignity is already neck deep in mud. They have no principles to lose and aim to maximize revenues.

Frequently asked questions