Authorities urge vigilance after a local investor loses thousands in a cryptocurrency scam promising high returns.
Crypto Investor Scammed Out of $58K
Cyprus police are investigating a case where a local resident fell victim to an elaborate cryptocurrency scam, losing $58,000. The Limassol Criminal Investigation Department is leading the probe, focusing on a fraudulent crypto trading platform. The scam was sophisticated, mimicking legitimate trading sites with interactive tools and profit charts.
Elaborate Platform Dupes Victim
The victim, a 50-year-old man, discovered the fake platform in December. It appeared professional, featuring detailed dashboards and tools that mirrored genuine cryptocurrency trading sites. Enticed by promises of high returns, he made multiple investments, totaling $58,000.
Manipulated Dashboards Deceived Victims
A manipulated dashboard falsely showed increasing profits, reinforcing the illusion of legitimate gains. When the victim attempted to withdraw his funds, the scammers demanded additional fees to unlock his earnings. This tactic, known as advance fee fraud, traps victims into losing more money while their initial investments remain inaccessible.
Authorities Warn Against Advance Fee Fraud
The Financial Crime Investigation Bureau has issued warnings about advance fee fraud, urging investors to only engage with licensed financial institutions. Officials highlighted the importance of verifying platforms and advisors before investing.
“Only invest with recognized, licensed financial institutions,” the bureau emphasized in a statement.
Previous Cases Highlight Risks
The Washington State Department of Financial Institutions has also reported similar scams. In one case, a victim lost $310,000 to a fake platform called Ethfinance. Other schemes involved bogus loans linked to locked crypto profits, leaving victims to repay loans out of pocket.
Scam Prevention Is Key
Cyprus authorities and global agencies are intensifying efforts to educate the public about the risks of unverified platforms. They stress caution and due diligence in crypto investments to prevent further losses.
Disclaimer:
The information provided on 13Desk is for informational purposes only and should not be considered financial advice. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. Investing in cryptocurrencies carries risks, and you should only invest what you can afford to lose. 13Desk is not responsible for any financial losses incurred from your investment activities.
