Trail RCMP officers have reportedly seen an increase in cryptocurrency scams, with some residents losing thousands of dollars to fraudulent investment schemes.
In one recent case, a 47-year-old man from Fruitvale was defrauded of $190,000 after investing in a cryptocurrency website.
The victim reported the scam to Trail RCMP on March 10.
Months prior, he had established a relationship through social media with another person who convinced him to invest large sums of money in cryptocurrency through a website they provided.
The man invested up to $190,000 through this website, but it wasn’t until months later that he learned his money and investment had disappeared after he transferred it to a third-party electronic location outside of his account.
Unfortunately, this was just one of three cryptocurrency scams reported to the Trail RCMP detachment in recent weeks.
On March 12, police received a report of a similar scam involving an 84-year-old Montrose woman who was defrauded of $4,000 after investing in cryptocurrency through a social media platform.
Police say the woman sent the money electronically to an alleged “investment company.”
Then, on March 27, a 50-year-old Rossland man called police to report that he had been defrauded of $322,000 USD after also investing in a cryptocurrency website.
The man began sending money electronically to a cryptocurrency website in 2021.
Unfortunately, none of the funds are recoverable.
Trail RCMP Sergeant Mike Wicentowich says cryptocurrency investments are risky with scams becoming more frequent.
“The public needs to take precautions and avoid buying cryptocurrency. The cryptocurrency space is rife with fraudsters trying to trade worthless digital currency for real money. Investing through social media bears the same extremely high risk as investing in cryptocurrency,” said Wicentowich.
“You do not know who you are dealing with nor where your money is actually going to end up. These kinds of investments are likely not insured or guaranteed against fraud and theft. Please keep your money safe and in your own bank account.”
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