How to check bitcoin address scam?

bitcoin address scam check

Cryptocurrency is still a relatively new technology to most retail investors. As it is not run by a central authority or bank ,finding reliable information is important. People enquire about how to use bitcoin ,how to buy /sell . These can be hard for first-time users. Terms like blochain,ethereum,Bitcoin Cash, Bitcoin Gold, and it only adds further to the confusion.

How to Check Bitcoins authenticity

Earlier forms of money like gold ,silver, paper or digital can be counterfeited or manipulated . There are many stories of fake gold and counterfeit paper money used all over the world. It is clear that banks were hacked and are hacked regularly.

So in this world all forms of money can be compromised and the legitimacy questioned. So it becomes important to know if they have purchased a legitimate Bitcoin? Is there a way to confirm if the Bitcoin you own is genuine? Yes, there is, and, it’s a pretty elegant system.

To check the genunity of your Bitcoin, all, you will be required is a non-custodial method of storing your Bitcoin. The verification could be through the help of a Hot Wallet or Cold storage as it is ideal to use a wallet that you have full access to and control. You may use a custodial wallet like one sitting on an exchange as it will perform the same kind of validation.

When you perform a transaction by purchasing Bitcoin and sending it to your wallet, this could be from an exchange, a company, a friend or any Bitcoin wallet also on the network.

If the network confirms the transaction with six confirmed transactions and the money is reflected in your wallet, then it is a legitimate Bitcoin. There is no need to check it after that, only a legitimately minted Bitcoin can be transferred via the network and confirmed by the miners.

Why can’t Bitcoin be faked ?

There is no way to get a fake Bitcoin because Bitcoins are a result of a calculation on the blockchain’s data which is like a decentralised database. Your wallet reads the blockchain, to find out how many coins you have.

Once transactions are confirmed on the blockchain, the bitcoins have left the originating wallet. Transaction confirmation means that bitcoin belongs to you. Blockchain is something that cannot be altered easily or hacked easily. Any hacker or manipulator would require to make those changes in thousands of databases in different computers . This looks very complex or almost next to impossible task as on date.

Hence,Bitcoin is called “trustless“. The blockchain removes any need for an intermediary to guarantee the transaction.

check bitcoin address scam

If you want to double-check funds you can use a tool called a block explorer. This tool is open to anyone so you can check wallets you have the addresses to so you can check wallets you own or wallets owned by people you do business with or plan to trade with in the future. All you need to do is enter the Bitcoin public address (the one you were paid into) into a public blockchain browser such as:

That will show you the relevant entries in the global shared Bitcoin ledger, which confirms that you, as the holder of the private keyHow to know if someone is sending real Bitcoin or fake Bitcoin? for that address, are the owner of those funds.

That will show you the relevant entries in the global shared Bitcoin ledger, which confirms that you, as the holder of the private key for that address, are the owner of those funds.