SOUTH SIMCOE POLICE SERVICE
The South Simcoe Police Service is urging residents to beware of cryptocurrency scams.
These scams promise an incredible financial return on investment within a short period of time. Two residents recently suffered significant financial losses after meeting individuals online who convinced them to invest into cryptocurrency.
The Canadian Anti-Fraud Centre (CAFC) says investment scams were the highest reported scams based on dollar loss in 2021 for which victims reported losses of $163.9 million to CAFC. In most of these cases, the investment opportunities offer higher-than-normal, or true monetary, returns, which often result in investors losing most, or all, of their money.
The CAFC is warning Canadians to watch out for the following:
- Investment opportunities with higher-than-normal returns
- Unsolicited telephone, email or social media investment offers
- Displays of urgency so you don’t miss out
- An individual met on a dating or social media website who quickly attempts to convince you to invest into cryptocurrency
- A friend tells you about a cryptocurrency investment opportunity via social media or email
- If you receive a suspicious message from a trusted friend, reach out to them through a different means of communication to confirm that it is them
- Verify if the investment companies are registered with your provincial securities agency or the National Registration Search tool
- Prior to investing, ask for information on the investment; research the team behind the offering and analyze the feasibility of the project
- Be wary of individuals met on dating or social media who attempt to educate and convince you to invest into cryptocurrency
- Beware of fraudsters asking you to open and fund new crypto accounts; they will direct you to send it to wallets they control
Anyone who suspects they have been the victim of cybercrime or fraud should report it to their local police and to the Canadian Anti-Fraud Centre’s online reporting system at https://bit.ly/anti_fraud or by phone at 1-888-495-8501. If not a victim, you should still report the incident to the CAFC.