First of all its a good idea to use online sites that verify users. These are paid sites, so there will always be a credit card trail in case something goes wrong the person can be traced. With verified sites members are fully vetted and background checks carried out so stick with those.
There was a case of a man in the UK who was trolling dating sites claiming to be a real-life James Bond. He managed to trick several women into sending him money, so if your Sugar Daddy suddenly turns the tables on you and asks YOU for money run for the hills!
Sugar Daddies value their privacy and guard it closely, so by asking questions initially may be difficult to ascertain if he is indeed a Sugar Daddy. Use your instincts and gauge his overall attitude to the questions you ask. If he starts to shuffle when you discuss the negotiation part of the relationship, before you’ve even met, then he is probably a harmless wannabe who will be too scared to even go through with meeting you. He is probably acting out some online fantasy and Sugar Daddy impostors like those will quickly disappear from your inbox.
If you can get your Sugar Daddy’s full name out of him during an online chat when he feels comfortable that is ideal. You can then google him or even do your own background check to see if he’s real. If he’s giving you a completely false name that is a red flag, if he chooses to be on first name terms only then that might be just a case of him protecting his identity for the right reasons. Try and break down the trust barriers so you can get him to open up a bit about himself, which will let you get as much information as possible.