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How to Avoid Common P2P Scams: A Guide for MEXC Users

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MEXC

What is P2P Trading?

P2P trading on MEXC lets you buy and sell cryptocurrencies directly with others. While P2P trading offers users convenience and greater control over their trades, the potential risk of scams is still present. To mitigate this risk, MEXC uses an escrow service that holds users' crypto securely until both sides fulfill their end of the trade. However, it's important to remain vigilant, as scammers may still exploit potential vulnerabilities if proper precautions aren't taken.


Escrow: Your Safety Net

MEXC's escrow service is an essential tool for safeguarding your crypto. Once a trade begins, the crypto you're selling is locked in escrow until payment is confirmed. Only then will it be released. It's crucial to always verify that the fiat transaction is fully complete before releasing your funds.


Staying Alert: The Best Defense Against Scams

While the escrow system adds a layer of protection, it's important to remain vigilant, as there are still bad actors attempting to exploit users. Always ensure that each step of the process is properly verified. If something seems off, trust your instincts and proceed with caution.


Common P2P Scams and How to Avoid Them

1. Fake Receipts and Escrow Transaction Scams

This scam can be particularly deceptive. Scammers may send fake screenshots or forged receipts to make it appear as if they've already made payment. They may even pressure you to release your crypto, falsely claiming that the escrow system will only verify the transaction after you do so.
Example: You receive (a screenshot of) what seems like proof of payment, or the scammer insists that the escrow system will only confirm payment once the crypto is released; however, no funds have actually been transferred.
How to Avoid It: Always verify the transaction by checking your bank or wallet to confirm that the funds have been received before releasing any crypto. Never let someone rush you. Take the time you need to ensure the payment is genuine. If anything feels suspicious, walk away from the trade and reach out to MEXC Customer Service for assistance.

2. MEXC Impersonation Scams

Scammers may attempt to impersonate MEXC Customer Service agents, pressuring you to release your crypto immediately under the threat of account suspension or freezing. They may also request sensitive information, such as your email address, to send phishing emails that appear to be official notices from MEXC.
Example: You receive a message from someone claiming to be a MEXC representative, telling you to release your crypto to your account to avoid it being frozen. Additionally, you may receive an email that appears legitimate but is designed to trap you.
How to Avoid It: Always verify the identity of the person you're talking to, especially anyone claiming to be from MEXC. MEXC Customer Service will never ask you to release funds or share sensitive information. Carefully check the contact details, and avoid responding to unsolicited messages. To further safeguard your account, set up an anti-phishing code in your account settings to identify real emails from MEXC.

3. Triangle Scams

In a triangle scam, two scammers target the same seller by placing identical orders for the same amount of crypto, usually simultaneously. The goal is to create confusion and make the seller believe both buyers are legitimate. However, only one payment is made between the two scammers. They work together, each pressuring the seller to release the crypto without verifying the payment, hoping the seller will act too quickly.
Example: A seller receives orders from two buyers who seem urgent and trustworthy. The scammers work together, each trying to pressure the seller to release the crypto. The seller might receive a payment for one order and release the crypto for that transaction, without confirming the details of the sender. Afterward, the second buyer presents a legitimate receipt, forcing the seller to release the second order, leaving the seller without crypto or payment for the second transaction.
How to Avoid It: Take your time and avoid rushing into releasing crypto. If you're dealing with two buyers who seem overly eager or insistent, this should raise a red flag. Always request payment receipts from both buyers and ensure the sender's name matches their MEXC account. Verify that each order is separate, and if anything feels suspicious, trust your instincts. Never skip verification steps, even if the buyers seem urgent.

4. Chargeback Scams

Chargeback scams occur when a buyer attempts to reverse the payment after you've already released the crypto. They may claim that the payment was unauthorized or that the transaction was fraudulent, leaving you without the crypto and without the payment.
Example: After receiving a payment and releasing the crypto, the buyer later files a chargeback, claiming they never made the payment. The bank reverses the transaction, and you are left with no crypto and no payment.
How to Avoid It: To prevent chargeback scams, always ensure you're accepting payments through methods that are non-reversible, such as bank transfers or other chargeback-free payment methods. Using credit cards or similar methods increases the risk of chargebacks. Additionally, verify that the buyer's name matches the one on their MEXC account. Any discrepancies should raise suspicion. Avoid accepting payments from third parties, as this complicates verifying the legitimacy of the transaction. If anything seems suspicious, gather evidence and immediately contact MEXC Customer Service to report the issue.


5. Fake SMS Scams

Scammers may send SMS messages that appear to be alerts from your bank or wallet app, claiming you've received a payment. These messages may even include a link to a fake site that prompts you to enter login details or release funds.
Example: You receive a text saying, "You've received a payment!" with a link to confirm it. The link leads to a fraudulent site that steals your login credentials when you enter them.
How to Avoid It: Never fully trust and rely solely on SMS notifications. Always log in directly to your bank or wallet app to verify if a payment has been received. Avoid clicking on any suspicious links and ensure the source is legitimate before taking action.

Final Tips for Safe P2P Trading

Whether you're buying or selling, safety is paramount. Adhering to platform guidelines ensures smooth transactions and reduces the risk of scams. Here are key tips for both sellers and buyers.
  • Keep communication within the platform. All conversations should occur within the MEXC P2P chat. Avoid responding to requests to communicate via third-party apps or platforms, as this ensures transparency and traceability.
  • Follow platform alerts and guidelines. MEXC regularly provides security alerts and updates. Stay informed by paying attention to these, and always follow the platform's guidelines to ensure secure transactions.

For Sellers:

  • Verify the payment before releasing the crypto. Never rely on screenshots or unverified proof of payment. Always double-check your bank account or wallet to confirm that the payment has been received before releasing any cryptocurrency.
  • Do not trust SMS alone. Scammers may send fake SMS messages that look like payment confirmations. Always verify the payment by checking your bank account or wallet directly, not just through a text message.
  • Avoid rushed transactions. Scammers often try to pressure sellers into releasing crypto quickly. If a buyer is overly pushy or demanding, it's a major red flag. Take your time to verify all details before completing the transaction.
  • Watch for fraudulent chargebacks. If you're accepting payments via methods that allow chargebacks (such as credit cards), ensure that you have full proof of payment, including transaction confirmations from your bank. Chargebacks can leave you without both the crypto and the payment.
  • Verify the buyer's identity. Always check that the buyer's name matches the name on their MEXC account. This provides an extra layer of protection, particularly in preventing chargebacks. If the names do not match, do not proceed with the trade.

For Buyers:

  • Avoid suspiciously low prices. If a deal seems too good to be true, it likely is. Be cautious and logical as prices significantly lower than the market rate are often a red flag.
  • Ensure enough time before the order expires. When completing the fiat transaction, ensure you have sufficient time before the order expires. If you fail to mark the order as paid in time, it will automatically be canceled, and you risk losing your money.
  • Be cautious if the seller is delaying. If the seller is slow to provide payment details or offers excuses, it may indicate fraudulent intent. Often, sellers may attempt to push you to make a payment just before the order expires, putting you in a vulnerable position.
  • Never cancel an order after payment. Once you have made the payment, do not cancel the order, even if the seller asks you to place a new order for a better price or gives other excuses. Stick to your original order to avoid potential scams.

By following these steps, both buyers and sellers can help protect themselves from scams and make P2P trading safer and more secure on MEXC.