Crypto Investment Scams: To combat financial and cryptocurrency fraud, the Wisconsin Department of Financial Institutions (DFI) has released an investment scam tracker that the public can access. A DFI report states that approximately $3.55 million was stolen from Wisconsinites between January 2022 and June 2024.
The newly launched tracker collects crucial hazard information from user comments to prevent future losses of this kind. Its primary objective is to increase public awareness of prevalent scams and make it more difficult for con artists to deceive more people.
Wisconsin Tracker Catalogs 22 Entries for Past Complaints
Numerous individuals fell for sham bitcoin trading sites or pig slaughtering operations; the tracker has documented 22 items derived from prior complaints.
According to Cheryll Olson-Collins, secretary of the DFI, “the DFI is dedicated to exposing these vicious predators and safeguarding consumers and investors through our new Crypto Investment Scams tracker in conjunction with our stern enforcement efforts.”
This tracker is still a valuable tool for crypto investors to be alerted about and protected from danger, even though the DFI did not corroborate the information or damages that the complainants alleged.
The tracker aims to provide customers with the information they need to make educated investment decisions. With its regularly updated data and user-friendly search options, it aims to do just that. Secretariat of Olson: Collins cautioned users against divulging their financial details to strangers online due to the immutability and impossibility of tracing Bitcoin transfers.
One way Wisconsinites may protect themselves against the increasing number of cryptocurrency frauds is to be cautious of dishonest people who promise unrealistic returns on cryptocurrency investments.
FBI Warns About Rising Crypto Fraud
In a March warning, the FBI cautioned the public to exercise caution when dealing with registered cryptocurrency money services providers that adhere to Know Your Customer and Anti-Money Laundering regulations.
Crypto investment losses increased by 53% from $2.57 billion in 2022 to approximately $3.94 billion in 2023, according to the Federal Bureau of Investigations. These losses were the most substantial part of investment fraud in the country, accounting for an estimated 86% of the year’s $4.57 billion in losses.
The FBI has reported an alarming increase in the number of victims of cryptocurrency scams, promising extremely high returns on investment. However, The Federal Bureau of Investigations (FBI) emphasized that scammers promise substantial returns on investment to entice victims.
One of the most prevalent types of bitcoin scams targeting consumers is romance scams. In these scams, con artists use fictitious profiles to entice unsuspecting victims into parting with their cryptocurrencies. Then, they vanish.
According to blockchain monitoring firm Chainalysis, in 2023, at least $374 million worth of cryptocurrencies was allegedly lost in romantic scams. Phishing attacks were another big concern for cryptocurrency users in 2023, with over 324,000 victims losing about $295 million in digital assets.
