FTC Warns of Romance Scams Luring People Into Bogus Cryptocurrency Investments

The U.S. Federal Change Commission (FTC) has warned about romance scams the employ of cryptocurrency. Scammers employ romance as a hook to lure folks into bogus investments, namely crypto, the federal agency defined. “2021 numbers are virtually five times those reported in 2020, and more than 25 times those reported in 2019,” said the FTC.

FTC Warns About Crypto Romance Scams

The U.S. Federal Change Commission (FTC) issued a warning Thursday about crypto-connected romance scams. The FTC is an goal agency of the U.S. executive whose foremost mission is the enforcement of civil U.S. antitrust law and the promotion of user safety.

“New files from the Federal Change Commission sign that more customers than ever file falling prey to romance scammers. Shoppers reported shedding $547 million in 2021 alone,” the FTC wrote, adding:

A increasing pattern in 2021 was once scammers the employ of romance as a hook to lure folks into bogus investments, namely cryptocurrency.

“Shoppers who paid romance scammers with cryptocurrency reported shedding $139 million in entire in 2021, more than every other fee quantity,” the federal agency detailed. “2021 numbers are virtually five times those reported in 2020, and more than 25 times those reported in 2019.”

To boot to, the FTC renowned that the median loss for customers who reported paying a romance scammer with cryptocurrency in 2021 was once virtually $9,770.

The Federal Change Commission defined that in romance scams:

Folks are led to judge their new on-line partner is a winning investor who, sooner than lengthy, casually affords funding advice.

Besides cryptocurrency, yet another standard funding plot promoted by these romance scammers entails distant places alternate (forex) shopping and selling.

Nonetheless, the commonest plot of fee to romance scammers is now now not cryptocurrency. “About 28% of oldsters that reported shedding money on a romance scam in 2021 said they paid with a present card or reload card, adopted by cryptocurrency (18%),” the FTC clarified.

The federal agency has issued several warnings about scams absorbing cryptocurrency this year. In January, it warned about crypto scams the employ of social media and ATMs.

What attain you watched about crypto romance scams? Allow us to grab within the feedback section under.

Kevin Helms

A scholar of Austrian Economics, Kevin learned Bitcoin in 2011 and has been an evangelist ever since. His pursuits lie in Bitcoin security, start-provide programs, network effects and the intersection between economics and cryptography.

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