Australians under 50 have been duped by several cryptocurrency investment schemes.
Over the past year, Australians are said to have lost at least AU$180 million ($122 million) to cryptocurrency investment scams. The Australian Federal Police (AFP) has issued warning on Wednesday, against the proliferation and sophistication of crypto-related investment scams.
The warning note is a part of an Australian campaign to report fraudulent schemes called Scams Awareness Week 2024. Together with state police, the AFP raised awareness of the need for people to “share a story, stop a scam.”
“All Australians are being urged by the AFP to exercise extra caution due to the increasing prevalence and complexity of scams. particularly those that seem too good to be true,” the police department warned.
Australians under 50 have fallen victim to numerous cryptocurrency investment scams, according to the warning.
Cryptocurrencies have been involved in nearly half of all investment scam losses that have been reported to the Joint Policing Cybercrime Coordination Center (JPC3).
Furthermore, the new data showed that in 2023–2024, Australians lost AU$382 million ($259 million) to investment scams. Of these, cryptocurrency losses accounted for 47% of the investment scam losses.
Assistant Commissioner Chin stated, “Scams Awareness Week is a timely reminder for all members of the community to know the signs of an investment scam and how to avoid becoming a victim.”
Furthermore, Chin pointed out that con artists use new technology and persuasive marketing to entice victims with the promise of large returns with little risk.
“Scammers often use pressure tactics and different methodologies to lure victims into making poor investment decisions. Two common methods being pig butchering and using deepfake technology.”
AFP Partners With Banks and Exchanges to Help Scam Victims
Chin emphasized that the goal of AFP and its partners in state and Commonwealth law enforcement is to “reassure the community” about their dedication to helping victims.
Additionally, in an effort to “assist victims of investment scams,” the AFP has teamed up with a few banks and cryptocurrency exchanges. They also want to get back any money that was stolen by scammers. The federal police have now made available a portal, cyber.gov.au, for victims of cryptocurrency fraud to alert and report the scammer.
Chin also urged victims to inform friends, family, and the community about the scam’s nature.
“The more people who know about these unscrupulous criminals, the harder it will be for them to scam victims,” he added. “If an investment opportunity sounds too good to be true, then it probably is.”
The federal police have also released a video message outlining the methods used by scammers as part of their awareness campaign.