The RCMP is sounding the alarm for residents of Richmond and beyond after a startling amount of cryptocurrency frauds have been reported so far this year.
According to the Richmond RCMP, there have been 22 reports of cryptocurrency frauds so far in 2022 and the total amount of losses is around $2.6 million.
“We have one investigation where the victim was reportedly defrauded of $550,000,” explained Cpl. Melissa Liu.
“In this case the victim made a series of investments in what he believed were legitimate foreign exchange companies only to discover he’d been tricked.”
Liu added that the fraudsters know exactly what they are doing and once they have the money, it’s easy to move so it cannot be traced or recovered.
Police have noticed three primary trends in these reports, as the reported frauds typically involve fake investment schemes, romance scams or individuals posing as representatives of a government agency.
The fraudsters can be very convincing and use a multitude of tactics, whether it be through charm or threats, to trick people.
“Unfortunately, these fraudsters keep finding new and unsuspecting victims,” noted Liu.
“We want to keep your money out of these fraudsters’ hands, which is why we will continue to remind and work hard to educate the public about cryptocurrency frauds.”
The RCMP provided the following tips to prevent yourself from falling victim to cryptocurrency frauds:
- Do your due diligence, research a company to confirm its legitimate before investing;
- If someone claiming to be from a government agency asks for bitcoin, google play or iTunes gift cards as a method of payment hang up immediately. No government agency would accept these methods as payment;
- If you meet someone online via a dating app or other social media sites who always has an excuse to not meet in person but brings up an investment opportunity do not invest or give them money.
More tips are available through the Canadian Anti-Fraud Centre.
Anyone who has been a victim of these types of frauds, or suspect that someone may be trying to scam them, should reach out to their local police.
