Legit or Scam
Concepts & psychology

Sunk-Cost Trap

Updated June 1, 2026Also called: sunk cost fallacy, throwing good money after bad

The pull to keep investing because you've already put money or time in — the engine that keeps task-scam and crypto victims paying.

Once a victim has deposited money or spent weeks on a “job,” the sunk-cost trap makes walking away feel like accepting a loss. Scammers deliberately exploit this: task platforms show a growing “balance” you must deposit more to withdraw, and pig-butchering “advisors” urge one more transfer to “unlock” your funds.

Recognizing the trap is the escape: money already lost cannot be recovered by sending more. The right question is whether the next dollar is a good bet on its own — and here it never is.

Frequently asked questions

Why do scam victims keep paying even when suspicious?

The sunk-cost trap. After investing money and time, quitting feels like admitting a loss, so victims send more to “recover” it. But paying more never gets the earlier money back — it only deepens the loss.

Related terms

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Educational content only — not legal, financial, or security advice. Scenarios and company names are illustrative.