Avoiding Scams: The Defense Playbook

Who this is for

Anyone who holds crypto or is about to. The attacks covered here have been used against people at every level — from first-time buyers to professional traders.

This path takes about 40 minutes. By the end you'll have a working mental model of how crypto scams actually work, the reflexes to recognize common patterns, and a habit (the wallet safety checklist) that dramatically reduces your exposure.

The single most important rule

No legitimate organization will ever ask for your seed phrase. Not for verification. Not for security. Not for an upgrade. Not for any reason. The moment someone asks for it, you are talking to a scammer.

If you remember nothing else from this path, remember that.

When to come back

Re-read the [Wallet Safety Checklist](/tools/wallet-safety-checklist/) before any non-routine transaction. Run it as a habit, not as a one-time thing. Most people who lose funds to drainer attacks say "I knew the rules, I just wasn't thinking in the moment." The checklist is the intervention that turns the rules into a reflex.

What if you've already been hit?

The articles in this path cover prevention. If you've already been scammed:

1. Disconnect and assess. Move remaining funds to a fresh wallet if you can.
2. Report to the FBI IC3 at ic3.gov — crypto theft is a federal crime.
3. Report to the FTC at reportfraud.ftc.gov.
4. Do not engage with recovery services. Anyone promising to recover your funds is running a second scam.

Then come back to this path and read it carefully — the pattern you fell for is documented here, and now you'll recognize it.

The path

1. Threat landscape

   Crypto Safety in 2026: Threats That Actually Matter

   Where the actual dangers are in 2026 — not the headline-grabbing exchange hacks.

2. The most common attack

   How Wallet Drainers Work — and How to Avoid Signing Away Your Assets

   Drainer attacks are not hacks. They trick you into signing. Understanding the mechanics is the defense.

3. Spot in 30 seconds

   The Crypto Scam Red-Flag Checklist

   Ten red flags. If any of them are true, stop and investigate.

4. Pre-flight before you sign

   Wallet Safety Checklist

   The 5-minute habit that prevents the most common loss. Run this every time you connect or sign.

5. What you should never share

   Seed Phrases: What They Are, What They Are Not, and How People Lose Them

   No legitimate service ever needs your seed phrase. Not for verification. Not for security. Not for any reason.