- India and Australia were recently in the news for several crypto scams.
- This scam stems from the FBI’s crypto alert, which highlights the urgent need for global crypto strengthening.
As cryptocurrency gains popularity among investors, institutions and politicians, scams have also increased.
Crypto crackdown in India
Recently the Enforcement Directorate (ED)an Indian investigative agency, raided the cities of Leh, Jammu and Sonipat on August 2, seizing Rs 1 crore and documents related to a fraudulent cryptocurrency scheme.
The investigation revealed how unsuspecting individuals in Leh were duped into investing in a fake cryptocurrency, ‘Emollient Coin’, with false promises to double their money within ten months.
The scam, led by Naresh Gulia of Sonipat through Emollient Coin Ltd, was promoted across regions.
The ED’s investigation, following an FIR by the Jammu and Kashmir Police under the PMLA, revealed persistent risks in the crypto landscape.
Australia joins the fray
Additionally, the Australian Federal Police (AFP), in partnership with blockchain data platform Chainalysis, launched Operation Spincaster on the global south side.
This will help combat ‘approval phishing’ crypto scams, which have stolen more than $4 billion worldwide since 2021.
According to reports, the operation has identified more than 2,000 compromised Australian crypto wallets, with ongoing investigations to prevent further scams.
The AFP emphasized the importance of global cooperation in combating cybercrime.
AFP Chief Inspector Tim Stainton said the same about this in a press release report said,
“The information we collectively gathered during Operation Spincaster has shone a bright light on new tactics being used by cybercriminals in their ongoing attempts to defraud Australians.”
Adding to the controversy was Phil Larratt, director of research at Chainalysis, who said:
“There is still much to do in this relentless battle against scams, but proactive initiatives like Operation Spincaster, where we bring together key stakeholders across the ecosystem as a collective, are a crucial step in disrupting the global scam epidemic.”
Crypto alert from the FBI
Amid the recent Bitcoin [BTC] recession, with prices dropped below $53,000the FBI has issued a critical warning about increased scam attempts targeting cryptocurrency users.
Source: FBI Indianapolis/X
This situation underlines the continuing threat from scammers and hackers taking advantage of market volatility.
During sharp price fluctuations and market instability, users often become anxious and may make impulsive decisions, increasing their susceptibility to fraud and theft.
Crypto enthusiasts remain unaffected
Despite the increase in crypto fraud, as of a report by Boston Consulting Group (BCG) on July 22, cryptocurrency adoption will continue to grow.
According to the report, the number of crypto users is expected to reach one billion by 2030.
“If we use the number of crypto holders as a benchmark for Web3 users and compare this to the adoption rate of internet users in the 1990s, the message is clear: there is still a lot of growth ahead. While it is difficult to predict whether the trendline of crypto adoption will continue, the total number of crypto users will likely reach 1 billion by 2030.”