The Xwgcoin Scam – Don’t Become the Next Victim

Recently, Xwgcoin.com website appeared, promoting itself as a place where you can safely keep cryptocurrency and other assets. I managed to gather reliable supporting information that clearly confirms it is, in fact, a scam service.

Despite what Xwgcoin site states, they will never refund your funds. Even though the money displayed in the “member area”, there is no way to retrieve even a cent. All pledges regarding crypto incentives are hollow as well.

Xwgcoin Scam Overview

The main service that Xwgcoin strives to provide is a secure and convenient cryptocurrency wallet service. The site pledges crypto exchange facilities, tools for managing wallets, transfers, dashboards, and similar stuff. In fact, they try to emulate the functionality of a crypto trading platform, like Binance or Coinbase. However, it in actuality exclusively serves as a shell intended to lull the vigilance.

Xwgcoin Scam

Initially, Xwgcoin mimics the layout of numerous equivalent pages. There are quite a few examples, like Veselex, Uzorex or Stockwex. They are completely undistinguishable in terms of visual elements, with minor discrepancies in the website header. Other specific elements, and sometimes even crypto wallet addresses, are identical. Probably, all these deceptive online platforms are led by a single gang of frauds.

Cryptocurrency Scam Summary

How the Xwgcoin Scam Works?

Xwgcoin is yet another webpage within a wide-ranging network of associated crypto scam webpages. The administrators employ various brand titles and websites, like Xwgcoin.com, to trap victims. Nevertheless, these fraudulent sites possess identical website designs, terms of service, and About Us content. This reveals their origins as a part of the identical fraudulent network, which advocates the identical type of fraud under different covers. The scammers simply replicate the same deceptive website under different names to fool users into assuming they are participating in a fresh venture. However, in actuality, it’s the same system of fraudsters orchestrating the fraudulent commitments and undertakings to seize deposited money. The operators shrewdly utilize psychological maneuvers and enticing invitations to implement their dishonest plans.

Step 1: Spreading

To begin the deceptive scheme, criminals set up and fill accounts on well-liked social media platforms. They mainly target Facebook, Instagram, Twitter, and TikTok. Subsequently, the advertising campaign begins. Utilizing bots and paid advertisements (when achievable), scam actors intensify the presence of their fraudulent activities to possible victims. This approach enables them to create a wide net and engage with their aimed spectators. The latter typically comprises of cryptocurrency enthusiastic individuals looking for prospects to make profits.

Users receive a stimulus to enroll, attracted by the commitment of obtaining crypto rewards valued at thousands of dollars, all without cost. To increase the appeal of the offer, false claims of cooperation with a celebrity are added. As you may guess, these claims are completely baseless.

Step 2: Gaining Traffic

Users who demonstrate interest visit Xwgcoin.com via links present in advertisements or robotic posts. The webpage utilizes captivating visuals, design features that appear legitimate, and claims of having a valid license, all aimed to project an initial impression of reliability.

Step 3: Data Gathering

To collect their rewards, users need to proactively set up an account on Xwgcoin and get guidance to submit sensitive and personal information throughout the sign-up procedure. This comprises linking their cryptocurrency wallets, revealing email addresses, specifying phone numbers, furnishing identification documents, and the like.

Step 4: Requesting funds

Once registered, users witness considerable amounts of cryptocurrency, valued at thousands of dollars, within their Xwgcoin wallets. However, as is common with such incentives, you cannot withdraw them ahead of topping up your account. Normally, a funds transfer of $100 is required to get the sign-up bonus. This prerequisite serves as the enticement that ultimately culminates to the money loss.

Step 5: Disappear

Signs of Scam

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

• False Celebrity Sponsorship. Xwgcoin often resorts to fake endorsements from celebrities such as Elon Musk, Jeff Bezos, Mr. Beast, and Mark Zuckerberg. This fraudulent tactic extends to claiming partnerships with reputable companies like Coinbase, Binance, or MetaMask, despite lacking any genuine affiliations.
• Cryptocurrency-Only Payments. Xwgcoin.com exclusively accepts payments in cryptocurrencies, rejecting traditional bank transfers and other methods. This approach not only masks the company’s identity but also eliminates the possibility of seeking refunds.
• Dubious Company Information. Xwgcoin raises suspicion by withholding essential ownership, location, and registration details. Furthermore, the absence of legitimate contact information and the recent establishment of domain and social media pages intensify skepticism.
• Unsubstantiated Hype. Xwgcoin.com employs groundless hype tactics, fabricating events like securing contracts with Coinbase or receiving endorsements from Elon Musk. These manipulative techniques aim to instill false confidence and encourage further investments.
• Potential Pyramid Scheme. The scam relies on a structure resembling a Ponzi scheme, leveraging a referral system spread through social media. However, only initial participants benefit, often at the expense of subsequent investors.
• Implausible Claims. Promising returns of 50-100-200%, Xwgcoin preys on the desire for quick profits. Yet, the volatile nature of the cryptocurrency market makes such gains highly unlikely, definitively labeling Xwgcoin as a scam.

What Should I do as a Victim?

If you had to deal with Xwgcoin 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.

• Report the scam to authorities. Search for local authorities responsible for financial frauds, and also notify wallet providers and social networks via their tech support. It is essential to make the further operations of these scammers much harder.
• Tell your close friends. That step is similar to reporting to the authorities, and has similar effects. By posting info about scam crypto service, you decrease the pool of people they can fool.
• Get evidence. Screenshot or save all the information related to the website. URL, screenshot of a main page, login window, EULA, account top-up menu, wallet addresses – all these things may be useful for authorities to find the scammers.
• Check whether you can ask for a refund. As I’ve said above, crypto payments do not fall under refund policies in most banks. Nonetheless, in some circumstances, it is still possible. Never lose hope until you actually confirm it is gone.
• Make your mistake your lesson. Financial losses are always a reason for frustration, but let’s imagine it was a pay for scam revealing courses. Remember the key features of these crypto scam sites, the way they attract people and what they promise. In the future, you will easily recognize a trap of spending no money.

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 scam, fraudsters may contact you with specific documents. Alternatively, they may offer you to set up “cryptocurrency wallet applications” or “browser extensions” to streamline access to your cryptocurrency savings. As we already figured out, these deceivers have no plan of giving back your capital. So, what can these email messages and browser plugins represent? Correct – this is another component of the scam designed to entice you into willingly installing destructive programs onto your device.

Both plugins and files included to emails can act as a shell for different malicious code. In this situation, I foresee the presence of spyware and stealers among other forms of malicious programs. While it is not mandatory for scammers to distribute malware, the chance is always above zero. As noted, their morality is of no concern, and their reputation is already deeply compromised. They have no principles to lose and strive to boost revenues.

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