The Federal Bureau of Investigation (FBI) warns of a rise in ‘Pig Butchering’ cryptocurrency scams used to steal ever-increasing amounts of crypto from unsuspecting investors. The warning was issued as a Private Industry Notification from the FBI Miami Field Office in coordination with the Internet Crime Complaint Center (IC3) yesterday to raise awareness among cryptocurrency investors who are increasingly being targeted by these types of scams. Pig Butchering is a relatively new social engineering scam where fraudsters contact people (the “Pigs”) on social media and build trust by engaging in long-term communication, establishing the idea of a fabricated friendship or romantic partnership. Sometimes, the scammers impersonate real friends of the target. At some point, the fraudsters propose that the victim invests in cryptocurrency on phony platforms that aren’t linked to an actual cryptocurrency exchange or market. Victims visiting these fake investment dashboards see massive returns, thinking their investment is already generating profit. The fake investment returns prime the target for the next stage of the scam, which is to press them to invest ever-increasing amounts and not withdraw anything. At some point, the victim attempts to cash out on their investments, which is when they are told that they need to pay income taxes first, additional processing fees, international transaction costs, etc.
Full story : FBI warns of “Pig Butchering” cryptocurrency investment schemes.
