British Authority Says 63 Million Pounds Were Lost To Crypto Fraudsters

There is no doubt that crypto fraud, scam, and theft incidents are once again growing in numbers. Most recently two DeFi based projects were subjected to flash loan attacks. It was later complained by both victimized projects that they each had lost US$ 3 Million to attackers. Even in the last month, the biggest crypto fraud took place in Turkey as well where the operator of the Ponzi crypto scheme fled with billions of dollars. Still, the Turkish police are trying to arrest the main culprit, however, no confirmation of his arrest has been received so far.

Very recently a report was compiled by an online crypto intelligence firm which pointed out in the report that attacks will be rampant now. The firm also warned that the attackers’ new target is the decentralized finance sector. The findings of the report are coming true as the recent attacks were caused to DeFi projects.

Similarly, a report of crypto-related crimes has been made public by a British Authority. In this report, the authority has pointed out that British citizens had lost multi-million pounds last year due to crypto hacks, frauds, and thefts. However, what was more shocking was that through social media alone, the citizens lost GBP 63 Million.

Action Fraud is an anti-criminal agency established within the UK and is the official reporting entity for the crimes such as cyber and fraud. Its jurisdiction expands over the whole of the UK, Northern Ireland as well as Wales. This agency works as a liaison office between the victim and the National Fraud Intelligence Bureau. For example, any person within the UK, who has been a victim of cybercrime can contact the agency via a phone call and record a complaint. Upon receiving the complaint, the agency then passes on the information to the Bureau as well as to the local police.

It was informed by Action Fraud on Saturday, 29th May 2021 that the agency received a total of 5,039 complaints in the past year. All these complaints were regarding a specific type of fraud that involved crypto investment and promotion was made from social media platforms. A large number of victims told the authority that the attackers themselves contacted them and looted their funds. However, some of the victims apprised that they were deceived by the false promotions which were posted on the social media platforms.

The police in London also pointed out that since the pandemic has come, there has been a huge increase in the incidents of crypto frauds. An official of the police said that when people go online they instantly become vulnerable to cybercrimes. The best way to avoid falling prey to these crimes is to ignore all unwanted and suspicious activities.