The European Law Enforcement Agencies took down a crypto fraud network, which also recovered €50,000 in cash and over $1 million in crypto.
Fraudsters have recently made it one of their favorite strategies to seduce unwary people by promising them good cryptocurrency investment chances. Social media has made it simpler for businesses to operate internationally and for scammers to do the same.
According to the press release, Eurojust and Europol broke up a crypto fraud network based in Bulgaria, Cyprus, and Serbia, claims a news statement.
Europe Witnesses 15 Crypto Scam Arrests
In addition, 15 were arrested for €10 million in crypto fraud in Germany, Switzerland, Austria, Australia, and Canada.
Fraudsters operated via four call centers, European agencies identified 250 workplaces, raided 18 locations, and seized three cars, two luxury apartments, $1 million in crypto, and over €50,000 in cash.
According to the press announcement, the network called victims frequently to entice them into making small investments using English and German. The network solicited new investors online. Victims invested additional money after making initial gains but later lost everything.
AI Used By Scammers For Malicious Activities
Additionally, in recent months, artificial intelligence has swept the internet. However, there is always a higher likelihood that scammers will employ the technology when there are significant use cases.
Scammers use well-known personalities’ video messages to scam people.
Scammers use AI to create manipulated videos of well-known personalities called Deepfake. In November, SBF video directing to the fake websites through giveaways was popular when the firm filed for bankruptcy
Over the weekend, a verified account posing as FTX founder SBF posted dozens of copies of this deepfake video offering FTX users “compensation for the loss” in a phishing scam designed to drain their crypto wallets
Raise awareness to avoid scams, don’t click links from strangers on social media DMs, and verify deepfake videos before taking action.
Related Reading | MetaMask’s Late Alert On Address Poisoning
Criminal justice departments and organizations should be well-versed in blockchain technology and other required technologies to combat cryptocurrency fraud. The UK National Crime Agency has created a special crypto section to address crypto crimes.