The FBI recently released a report stating that Americans are facing an increasing number of cryptocurrency scams, resulting in significant financial losses. FBI Director Christopher Wray emphasized the importance of reporting potential crimes to the Internet Crime Complaint Center, even if there is no immediate financial loss involved. The center received over 69,000 complaints related to cryptocurrency fraud in the past year.
The most common type of crypto scam reported was investment fraud, with over 32,000 complaints submitted to the center. This category also accounted for the highest reported losses, with Americans losing over $3.9 billion to investment fraud in the crypto space. Personal data breach scams came in second, resulting in over $490 million in losses.
Interestingly, individuals over the age of 60 reported the most instances of crypto fraud and suffered the highest losses, totaling over $1.6 billion. On the other hand, a report by the Better Business Bureau found that Gen Z is most susceptible to online scams, but individuals aged 55 to 64 are more vulnerable to online investment scams.
The FBI highlighted that individuals should be cautious when receiving calls from unknown numbers or encountering inconsistencies in website domain names and emails. Additionally, they warned against making payments through cryptocurrency kiosks in response to demands from alleged law enforcement or government agencies. The FBI advised individuals to seek advice from licensed financial advisors before making any investment decisions.
In conclusion, the rise in cryptocurrency scams is a concerning trend that is impacting individuals of all ages. By remaining vigilant and following the FBI's recommendations, individuals can better protect themselves from falling victim to these fraudulent schemes.