More than 46,000 people have lost more than $1 billion to crypto scams since 2021, says FTC

  • More than 46,000 people say they lost over $1 billion in crypto to scams since the start of 2021, according to a report released by the Federal Trade Commission on Friday.
  • Losses last year were nearly sixty times what they were in 2018, with a median individual loss of $2,600.

More than 46,000 people say they lost over $1 billion in crypto to scams since the start of 2021, according to a report released by the Federal Trade Commission on Friday.

Losses last year were nearly 60 times what they were in 2018, with a median individual loss of $2,600.

The FTC notes that the top cryptocurrencies people said they used to pay scammers were bitcoin (70%), tether (10%), and ether (9%).

We are primarily funded by readers. Please subscribe and donate to support us!

One key feature of cryptocurrencies like bitcoin is that payment transfers are final and can’t be reversed. This isn’t always a good thing. Chargebacks — a type of tool designed to protect consumers — allow consumers to reverse a transaction if they claim they have been fraudulently charged for a good or service they did not receive.

Nearly half the people who reported losing crypto to a scam since 2021 said it started with some kind of message on a social media platform. The top platforms mentioned in these complaints were Instagram (32%), Facebook (26%), WhatsApp (9%), and Telegram (7%).

www.cnbc.com/2022/06/03/crypto-scams-cost-people-more-than-1-billion-since-2021-ftc.html

Views:

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.