Unfortunately, some scammers have been using the Slush Pool name to steal Bitcoin from unsuspecting people. Here we expose some of the scams and tell you how to recognize them.
Are you looking to get into Bitcoin mining? Or are you deciding to purchase a mining contract to earn passive income? Stop. You may become a victim of a Bitcoin mining passive income scam.
Bitcoin passive income (or investment) scams are prominent in the Bitcoin mining space. These scams typically require you to invest money up front to purchase a Bitcoin “mining contract.” In return you get a guaranteed income stream — or so they say.
Cryptocurrency scams tend to gain popularity when the price of Bitcoin increases significantly. As many new unsuspecting people join the space, they often come across these fraudulent companies. It’s up to you and only you to protect yourself and decide whether it’s a scam. There is little to no recourse for people who fall victim to these scams because Bitcoin transactions are irreversible.
(For a full list of known scammers, scroll to the bottom of the article.)
Slush Pool is the oldest and a well respected Bitcoin mining pool. Unfortunately, many scammers use our name to legitimize the investment scam they’re running. Slush Pool will never require payments from our users. There are no official Slush Pool consultants who offer certain "investments opportunities" on the internet. The only domains that we use are slushpool.com and braiins.com.
The following are a few red flags to look out for when assessing Bitcoin mining investment opportunities.
Bitcoin mining is a complex process. Determining the exact return on your investment in advance is almost impossible. Different variables are at play, such as the mining difficulty and current Bitcoin price, many of which are completely out of your control and will all affect your return. Therefore, anyone who promises you a guaranteed return in advance is a major red flag.
If you’re purchasing a cryptocurrency mining contract to have your mining hosted with another company, a more legitimate investment will show the amount of hashing power you will receive in return for your investment. If you’re purchasing bitcoin mining equipment for your own operation, it's best practice to purchase directly from the manufacturer or a trusted reseller with a strong public reputation.
Having positive reviews isn’t enough. Many scammers know that people will look at reviews before deciding whether to invest. These reviews are often fake and talk very positively about the company. This is especially true for reviews and testimonials found on the website itself.
You shouldn’t solely rely on what other people say about the company. You must do your own research and assess the company yourself.
The channel that you came to learn about the company helps determine the legitimacy of the company. Was it a direct message on Twitter or Instagram? Did you get an unsolicited email? Legitimate companies within the space will not reach out through informal communication channels.
We have a saying in the Bitcoin industry: “don’t trust, verify.” Doing your own research and keeping the previously mentioned red flags in mind will help you avoid falling victim to these investment scams.
At Slush Pool, our employees (including support agents) only communicate using addresses from one of the following domains: slushpool.com, braiins.com, slushpool.kayako.com.
We decided to contact some Slush Pool impersonators ourselves. We compiled images to showcase the misleading claims the impersonators make. These images are intended to act as educational content to help prevent more people from falling victim to these scams.
The following is the most typical way someone will get scammed:
The scammer will attempt to get more bitcoin from you. Typically an issue with your deposit will occur and ask you for more bitcoin. Another common tactic is that they get you to pay “fee” to enable you to withdraw your profits from the platform. This is just another attempt to get you to send them more bitcoin.
Understanding how the scam operates will help protect you from falling victim to this common crypto mining scam. If the investment sounds too good to be true, it probably is.
If you ever come across anybody claiming to be from Slush Pool who asks you to send BTC for "Bitcoin mining contracts" please do not send them any coins and report the impersonators as spammers or scammers if possible.
The following are known impersonators to avoid:
Operators of Slush Pool. Creators of Braiins OS+ autotuning firmware & a fully open-source mining stack: Braiins OS + BOSminer + Stratum V2.
Industry leaders in transparency and innovation, with more than 1.25 million BTC mined since 2010.
Increase hashrate on S9s to 17+ TH/s, improve efficiency as much as 20%, and get 50% lower pool fees on Slush Pool
Cutting-edge firmware with an implementation of Stratum V2 and mining software written from scratch in Rust language.
Quality improvements including reduced data loads, empty block elimination, hashrate hijacking prevention, and more.