The Better Business Bureau says that scams related to cryptocurrency jumped from the fourth riskiest scam in 2020 to number one in 2021.
The information is contained in a recent report conducted by the BBB Institute of Marketplace Trust. The report found that while cryptocurrency scams made up only 4.7 per cent of those reported to the BBB Scam Tracker last year, the average median dollar loss reported was $1,500 dollars—much higher than the overall media dollar loss of $250 dollars for Canadians.
Kristin Matthews, marketing and communications officer with the group’s Atlantic division, says such attempts to get your money often begin with an unsolicited text or other type of message.
They’ll promise that the investment will perform great but you have to act now. Once you invest in the platform, you’re not able to withdraw any funds,” she says.
The second riskiest scam according to the report is advanced fee loans, while online purchase scams also dropped from second riskiest to third. Canadians ages 25 to 34 reported the highest median dollar losses in 2021 at $310 dollars, up from the previous year. More than 44 per cent reported losing confidence or peace of mind because of the emotional impact of being targeted by a scam and about 35 per cent reported losing personal information.
