A Victoria woman is warning other residents to be careful after a brush with a scammer trying to get her to invest in a fake crypto scheme.
Grace (Black Press Media is not revealing her last name to protect her from future scams) is a Victoria resident in her late 20s who received a series of unsolicited offers on social media to discuss a possible crypto investment.
Grace said shesa国际传媒檇 been looking to invest some money and asked friends on social media if they had any ideas.
sa国际传媒淗e was very charming and funny,sa国际传媒� said Grace. sa国际传媒淗e seems very genuine at first, saying that he didnsa国际传媒檛 trust banks and their high fees.sa国际传媒�
Grace identified with that and had heard lots about crypto, but didnsa国际传媒檛 understand it. The person who approached made things sound simple at first and kept mentioning sa国际传媒済uaranteedsa国际传媒� returns on a small amount of money. But once she started asking more questions, the personsa国际传媒檚 explanations got more and more complicated with a lot of jargon.
sa国际传媒淗e kept telling me to trust him,sa国际传媒� Grace said, adding that after asking for more information, sa国际传媒淚 got sucked into a vortex of information that didnsa国际传媒檛 make any sense.sa国际传媒�
Grace admitted she felt some FOMO (fear of missing out) and was close to sending an initial payment. Thatsa国际传媒檚 when she asked the person for some credentials saying that he was registered to do investments.
Thatsa国际传媒檚 when the person started stalling, leading Grace to change her mind sa国际传媒� saying it definitely felt like a scam.
According to the B.C. Securities Commission (BCSC), B.C. RCMP and the Canadian Anti-Fraud Centre (CAFC), Grace is one of the lucky ones.
In 2022, British Columbians reported combined losses of nearly $24 million in crypto scams, almost triple the $8.5 million reported the year before, according to CAFC data.
Canadians lost a sa国际传媒渟taggeringsa国际传媒� $530 million to fraud and cybercrime in 2022, a 40 per cent increase from 2021, said a news release, which added that only 5 to 10 per cent of victims report fraud.
sa国际传媒淪cammers are using the popularity and complexity of crypto assets to target vulnerable investors, particularly on social media,sa国际传媒� read a statement. sa国际传媒淩ecent BCSC research shows young adult investors in B.C. are more likely turn to social media for investing advice and information and that they are taking a more speculative and risky approach to investing, with 18 per cent holding only crypto investments.sa国际传媒�
Investors can protect themselves by recognizing the following characteristics of a crypto scam:
Promises of sa国际传媒済uaranteedsa国际传媒� high returns on an investment: All investments have risk. Investors should question any investments that have a sa国际传媒済uaranteedsa国际传媒� return.
Complicated jargon and language that is difficult to understand: Scammers often exploit the mystique of complex new technologies, like blockchain or artificial intelligence, to project a veneer of expertise and authority.
Unregistered salesperson: Many investment frauds involve individual or firms that arensa国际传媒檛 registered to buy or sell investments. Always check AreTheyRegistered.ca before investing.
Unsolicited offers: Be extremely cautious if you receive unsolicited communication over email, by phone, pop-up ads and videos on the internet, or direct messages on social media.
Pressure to buy: Scammers may try to create a false sense of urgency to take advantage of an investment sa国际传媒渂efore itsa国际传媒檚 too late.sa国际传媒� Take your time and research an investment opportunity, ask questions, and talk to a registered professional before making a decision.
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Do you have a story tip? Email: chris.campbell@blackpress.ca.
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