Stellar (XLM) community sleuths exposing another scam

Reddit user b1tcc brought light to a new scam that is making the rounds on the crypto market. The scam is apparently called StellarPay and is made by the same people who were responsible for similar shady Stellar-based projects like StellarActivity and Stellar Dolphin.

Apparently the scammers are contacting individuals via Reddit, Twitter and other social media platforms, asking them to visit the StellarPay website and join a giveaway of project’s XLB tokens. The scam involves the project offering XLB bounties for anyone who takes some load off their back and promotes the scam online.

“Huge giveaways, empty promises, low effort product with some images, and lots of bounties for people start using their crap token so they could gather a big user base, in the end they exit scammed by shutting everything down after selling some of their supply.”

The scam seems to be a bit more advanced and high-effort this time, differing from the low-effort “enter your private key on our phishing website” scams that were previously ran by the people behind StellarPay. The “team” apparently hired some graphic designers and created a better looking website, and also went to the trouble of stealing their team member pictures from this link. With some bad English sprinkled aside and no intrinsic value behind the XLB token, it’s recommended that the community stays away from this project.

What is the difference between Stellar and Ripple tokens?

October scam StellarShade

Back in October, project called StellarSHADE came under community scrutiny. Calling itself “an anonymous blockchain that is being built side by side with the technology & speed of Stellar,” the StellarSHADE project ticks all the crypto-related buzzwords with their ultimate goal of having “a secure, fast, free, & private network that is reliable, decentralized, & open-sourced.” A member of r/Stellar community Clutchmeister88 made this post, exposing the project as a blatant scam designed to sell SHADE shittokens to naïve people.

The post describes how a single wallet created 800 million SHADE tokens and designed a scheme involving scarcity of tokens and bait giveaways to fool people who don’t do their research into sending them XLM in exchange for basically nothing. It also goes into detail how the creator of StellarSHADE previously created another scam called Taichichain which got exposed after uploading a copy of XEM’s whitepaper as their own (while simply replacing the name XEM with Taichichain).

The post finds plenty more similarities between StellarSHADE and Taichichain, warning the community to stay away from the project and do their due diligence before investing. The community inputs have seemingly been heard by StellarX, which had SHADE as the asset with the highest on-platform daily trade volume a couple of days ago. The exchange has since delisted the asset and the community can take pride in knowing they helped limit the reach of this scam.

intelligent crypto
How are  regular people making returns of as much as 70% in a year with no risk?  By properly setting up a FREE Pionex grid bot - click the button to learn more.
Crypto arbitrage still works like a charm, if you do it right! Check out Alphador, leading crypto arbitrage bot to learn the best way of doing it.

Philipp Traugott
Philipp Traugott

Phil Traugott is a staff writer at CaptainAltcoin. As a trained marketing specialist for copywriting and creative campaigns, he has been advising top companies on the following topics: online marketing, SEO and software branding for more than 10 years. The topic of crypto currencies is becoming increasingly important for companies and investors and he found it very alluring and fitting for his skillset which prompted him to pivot his career towards blockchain and cryptocurrencies.

We will be happy to hear your thoughts

Leave a reply