Oregon’s Division of Financial Regulation (DFR) has warned digital currency investors to do their due diligence before investing in any scheme, given the high spate of fraud plaguing the industry.
The financial watchdog disclosed the warning on its official website, listing some of the tactics employed by scammers. One such measure is the re-victimization of FTX’s users with the ploy of recovering lost assets for the defunct platform’s users.
The scammers bait their victims using a website that appears to be run by the U.S. Department of State, claiming that they will be able to return the assets of users. In reality, the scammers obtain sensitive details from victims, which they use to gain control of other digital wallets or ask users to pay a sum to fast-track the return of the assets.
“The U.S. Department of State did not create this website. Please be advised that if anyone contacts you asking for usernames and passwords for your accounts, it is more than likely a scam,” read the DFR’s warning.
Another scheme employed by digital currency scammers is using fake investment platforms that offer huge returns in a short time frame. Lured by the promise of impressive returns, victims deposit digital currency like BTC on the platforms but unknown to them, the scammers control trading details.
The DFR warns that users’ balances will rise rapidly, but they will be unable to withdraw their balances. Instead, they will be inundated with requests to deposit…
