Amid the continuous development of the crypto market, another online crypto scam has struck again as a Hong Kong retiree lost almost 7 million Hong Kong dollars (US$891,723) in savings in just two months.
According to a source familiar with the case, the 55-year-old woman who is a retiree and a Victim of the crypto scam was scammed via an investment scheme. She found out she had been scammed when she attempted to borrow money from her daughter to pay “surety” to recover part of the money.
The scam initially began as the 55-year-old woman met a scammer on Instagram in January who convinced her to invest in cryptocurrency, promising high returns. The victim was lured into setting up an account on a fraudulent investment website, which presented fake information about digital coins and positive returns.
Police said that between February 11 and March 31, the retiree transferred HK$6.96 million into 19 designated bank accounts in 24 transactions. She was asked to pay a “surety” when she tried to cash out part of the deposited funds, and this is when she realized she had fallen victim to a scam.
The victim reported the incident to the police last week. Officers are currently now making efforts to discover the owners of the bank accounts involved.
Police have deemed the case as “obtaining property by deception,” an offense with a penalty of up to 10 years in jail under the Theft Ordinance. No arrests have been made yet.
Rise In Cryptocurrency Scams
The Hong Kong retiree’s case is one of the latest in a series of cryptocurrency-related frauds in the region. According to the police, there were 2,336 cryptocurrency-related scams reported in Hong Kong last year, with the cases involving roughly HK$1.7 billion in funds,
Cryptocurrency scams have become a concern worldwide, with cybercriminals using social media and fraudulent websites to lure investors into parting with their money.
To avoid falling victim to such scams, potential investors are advised to conduct thorough research on investment opportunities, be wary of promises of high returns, and not invest money they cannot afford to lose.
They are also advised to only invest in regulated investment platforms and avoid unknown or unregulated ones.
To conclude, the Hong Kong retiree’s case is a sad reminder of the need for caution when investing in cryptocurrencies. The high returns promised by fraudsters should not be taken at face value, and potential investors must take the necessary precautions to avoid falling prey to scams.
The police are doing their best to track down and prosecute scammers. Still, ultimately it is up to individuals to take responsibility for their investments and not let the lure of quick profits cloud their judgment.
