Scammers are incredibly savvy when it comes to finding ways to steal your money and we are seeing a new wave of fraud involving cryptocurrency.
The tactics are like other scams, only now the fraudsters are demanding payment in cryptocurrency such as Bitcoin. They pose as reputable companies like Amazon, Microsoft, or even your bank, with the aim of convincing you to buy and send cryptocurrency, often via a Bitcoin ATM. A Bitcoin ATM is a virtual kiosk found in grocery stores, gas stations and convenience stores. While they look like a typical bank ATM, these kiosks allow you to purchase and send virtual currencies to other parties.
Scammers succeed because they’re good at what they do. They try to scare you into keeping it a secret — even from your closest loved ones. Once they have you alarmed and alone, they’ll give you the solution to the problem they just created: “protect your money by moving it.” And that’s when they’ll send you to a Bitcoin ATM to “secure” your money. Problem solved? Unfortunately, the problems are just beginning because neither Bitcoin nor the ATM can protect your money once you’ve sent it.
So, if you receive a call, email, or text message from anyone asking you to send cryptocurrency, remember these points:
- NEVER send money or virtual currency to someone you have not met in person.
- NEVER send money or virtual currency, even to someone you may think you know, if the circumstances are unusual, if the person requests money or virtual currency in advance, or if the person claims an emergency or creates any other urgent need for funds.
- NEVER provide any personal information, like your social security number, bank account number, or passwords to anyone unless you have confirmed the request is coming from a legitimate source.
- Do not be afraid to pause, ask questions and reject pressure to make decisions or provide information on the spot. Take time to confirm the identity of the person you are speaking to and remember; no legitimate company will ask you to send money via cryptocurrency.
Most of all, trust your instincts. If something doesn’t feel right, it usually isn’t. If you aren’t sure about a request, you can always reach out to FineMark. We will help verify or debunk the source.
