If you are looking to buy, sell or trade Bitcoin or other digital assets you will come across numerous exchanges. But why is it important to choose a crypto exchange carefully and wisely? It is important so you can avoid being scammed and losing your funds as has happened to the people who choose AfriCrypt.
According to reports, $3.6 billion worth of Bitcoin has disappeared along with the operators of AfriCrypt. Whether it is a scam or hack is yet to be proven and found out but it has undoubtedly caused great damage.
This is why, using the safest crypto exchanges is important, especially for people who want to invest in crypto for the first time. If you are looking to buy BTC then click on SwissBorg or Kraken and start investing with a free bonus.
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On the other hand, if you are a novice trader, you can use PrimeXBT Covesting, which is one of the safest trading platforms for beginners.
What Are Some Essential Facts to Know?
AfriCrypt is a crypto exchange in South Africa and was founded in 2019 by two brothers Ameer and Raees Cajee. The crypto exchange reportedly sent a message to the investors in April that the exchange had been hacked.
At the time, the total amount that was supposedly lost due to the hack summed up to $3.6 billion or Bitcoin worth 54 billion rands.
The exchange had claimed that it would be ceasing all operations in an attempt to recover stolen funds and compromised user information. The message extended to the users by AfriCrypt also stated that users should refrain from taking any legal action as it would delay the process of recovery.
The case has now been taken by Hanekom Attorneys, on behalf of the users. The law firm Hanekom Attorneys stated:
“We were immediately suspicious as the announcement implored investors not to take legal action,”
The law firm also stated:
“Africrypt employees lost access to the back-end platforms seven days before the alleged hack.”
It has been reported that the 69,000 BTC were transferred by the owners of AfriCrypt after the recent price crash. It is suspected that the BTC was taken out from AfriCrypt’s accounts and clients’ wallets and transferred to dark web tumblers and mixers to make them untraceable.
While strict legal action is being taken by the High Court, many people have suffered the loss by trusting an unsafe exchange.
How Can You Choose a Safer Exchange?
Stepping into the crypto space and investing your funds in digital assets can be a risky experience, especially for novice parties. This is why it is extremely important to do your research thoroughly and know all your options so you can compare them and narrow them down to the best and safest exchanges.
AfriCrypt grabbed the attention of potential clients by offering them returns of up to 10% on a daily basis.
Therefore, you should not be reeled in by such bonuses and discounts, instead make sure you take your time to find the top Bitcoin exchanges, whether you want to trade or invest in BTC.
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Nevertheless, crypto traders who have some more information as compared to novice parties should also be careful while using an exchange to trade. One of the best trading platforms they should opt for is ByBit.
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