Fraudsters Shift Focus from Crypto Investors to Traditional Banking Customers in Ireland
Despite the ongoing bear market in the crypto industry, fraudsters in Ireland are no longer targeting cryptocurrency investors. Instead, they have turned their attention to traditional banking customers. According to the Irish Independent, Irish people lost nearly 20 million euros ($21.8 million) to scammers posing as banking officials in 2023.
“In the last few months, what has become more and more common is that victims have been contacted often by phone or by email by fraudsters who are saying they work for legitimate, high-profile British banks or trading houses.”
The scammers use phone calls and emails to mimic traditional banks and deceive unsuspecting customers. The Irish police are currently investigating several cases of this nature and have successfully recovered 2 million euros ($2.1 million) from one of the scammers.
While crypto scams used to dominate investment scams in Ireland, accounting for 95% at their peak, they have now been surpassed by banking scams. Fraudsters no longer need to devise complex crypto scams; instead, they imitate banking websites and brochures to convince victims to hand over their savings. Detectives have identified over 20 bank accounts in the United Kingdom being used by these fraudsters but have yet to dismantle the operation.
Australian Bank Highlights Prevalence of Crypto-Related Scams
In Australia, a panel discussion at the Australian Blockchain Week revealed that a significant number of scams involve cryptocurrencies. Sophie Gilder, managing director of blockchain and digital assets at Commonwealth Bank, stated that “one in three of the dollars that are scammed from Australians touch crypto.” Nigel Dobson from ANZ also mentioned that data from the Australian Financial Crimes Exchange suggests this figure may be even higher at 40%.
Hot Take: Fraudsters Adapt to Changing Market Conditions
As the crypto industry experiences a bear market, fraudsters are adjusting their tactics to target traditional banking customers instead of crypto investors. This shift is evident in Ireland, where scammers posing as banking officials have defrauded people out of millions of euros. By imitating legitimate banks and using phone calls and emails, fraudsters deceive unsuspecting customers into parting with their savings. This change in focus demonstrates the adaptability of scammers and highlights the need for individuals to remain vigilant against financial fraud, regardless of the investment landscape.
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