A consumer warning has been issued by the United States Federal Trade Commission (FTC) about crypto-related romance scams.
The FTC called upon consumers to steer clear of all online love interests that use crypto investment as bait in order to steal their funds.
Long-term tactics are used by these scammers. They spend a considerable amount of time building relationships with their victims and getting to know them before they execute their schemes.
The scams
According to the FTC, the biggest problem is that people do not expect to be scammed by a love interest and do not suspect them.
These scammers make an effort to connect with their victims emotionally. Therefore, it is easier for the later to believe that the former are crypto experts.
The government agency pointed out that these scammers do their job quite well. It further warned that people have already lost millions of dollars in such scams.
The FTC said that these scammers claim to offer assistance to help you invest your funds in the crypto market. They also offer help in teaching you how to invest on your own.
Most people assume that they are concerned about their financial well-being, but they are actually only concerned about their own.
Warning signs
In addition, the FTC also shared some warning signs that could help people understand that their online love interest could be a scammer.
These signs include promising no risk and guaranteeing huge profits. The scammers claim to teach victims investment secrets and try to convince them to send money.
The FTC reiterated that it is not possible for anyone to guarantee profits, regardless of what investment it may be.
The agency also asserted that risks are inherent in all investments and this is also true for the crypto market.
The government agency also urged consumers to reach out if they know of any potential crypto romance scammer and also disclose the social platform.
In addition, the FTC said that consumers who encounter crypto romance scams should educate their friends and family about them.
Scams in Canada
Crypto romance scams have recorded a massive rise in Canada. They are lurking on dating apps to find victims in the summer.
The Canadian Anti-Fraud Centre (CAFC) said on May 29th that romance and investment scams on text messages, dating apps, and social media are on the rise.
The CAFC and the Canadian Investment Regulatory Organization (CIRO) also issued a joint warning regarding scams that involve significant online communications.
According to the authorities, Canadians need to exercise caution, especially when they come across people talking about crypto investments and trading.
The government said that the scammer eventually suggests that you make an investment, mostly in crypto assets.