• The FBI has issued a report that Colorado residents have become targets of crypto scams.
• These scams involve stablecoins such as Tether and USDC and have resulted in the loss of millions of dollars.
• Victims are often approached on social media platforms, dating apps, or discussion forums with an offer to invest in cryptocurrency.
Crypto Criminals Targeting Colorado Residents
The Federal Bureau of Investigation (FBI) has issued a report that details how crypto criminals have targeted residents of Colorado for millions of dollars worth of stolen funds. Scams have involved stable assets such as Tether and USD Coin (USDC).
Victims Being Approached Through Social Media Platforms
According to the FBI’s statement, victims are typically approached on social media platforms, dating apps, or discussion forums with an offer to invest in cryptocurrency. The fraudsters then direct them to a link or phone number controlled by themselves in order to set up an account for investing. Once the victim transfers their funds, the fraudster disappears with their money.
Examples Of Local Coloradans Being Targeted
The document mentions five examples where Colorado residents were scammed out of more than $4 million in total. This includes: over $600K from a 52-year-old man living in Aurora; approximately $1.3 million from a 61-year-old woman in Denver; $350K from a 62-year-old man living Evergreen; and finally $1.2 million from another pair who lived near Parker — both were senior citizens in their late 40s.
How The Scam Operates
The way these scams operate is similar to those involving romance scams whereby someone pretends to be an investment manager offering new investment opportunities that can’t be missed out on. They then direct victims to phony websites which appear profitable and rising portfolios when initially invested into but then make it impossible for withdrawal unless more money is invested into it again — leading to further losses for victims involved.
Warning From The FBI
The FBI warns people not to get tricked by any advice given about cryptocurrency investments since any money sent will likely not be recovered afterwards if it turns out it was nothing but a scammer trying deceive them all along.
