FBI Reports Alarming Rise in Cryptocurrency Fraud Cases, Impacting Maine Residents

STATEWIDE (WGME) -- The FBI has unveiled alarming new data this week, highlighting a dramatic increase in cryptocurrency-related fraud, which has led to substantial financial losses for residents in Maine.

In 2023, the FBI recorded nearly 70,000 complaints regarding cryptocurrency scams across the United States, resulting in staggering losses of approximately $5.6 billion. This marks a significant 45% increase in fraudulent activities compared to 2022. Specifically, Maine reported 210 complaints last year, with losses nearing $6 million.

The FBI attributes this surge in scams to the growing popularity and value of cryptocurrencies, such as Bitcoin, which have attracted both investors and fraudsters alike.

Investigators have found that scammers frequently target potential victims via dating apps and social media platforms. They often cultivate trust over weeks or even months before persuading victims to invest in cryptocurrency.

Some fraudsters go as far as requesting payments in cryptocurrency, mimicking tactics used in gift card scams.

Key Insights from the 2023 Cryptocurrency Report by the FBI:

• Beware of Cryptocurrency Payment Demands: Legitimate businesses will never ask for payment in cryptocurrency upfront, whether for purchases or to safeguard your funds. If someone does, it’s a scam.

• Skepticism Towards Guaranteed Returns: Be cautious of anyone promising quick and substantial profits in the crypto markets. Such guarantees are a hallmark of scams.

• Avoid Mixing Online Dating with Investment Advice: If you meet someone on a dating platform who offers investment guidance in cryptocurrency or requests that you send them crypto, it’s likely a scam.

• Verify the Legitimacy of Cryptocurrency Exchanges: Always ensure that the cryptocurrency exchange you are using is reputable and secure before sending any money.