Scammers Are Loving Bitcoin
We’ve heard of fraudsters who call victims warning about some “suspicious activity’ on an account and ask for payment in the form of gift cards to remedy the situation. Now that most people are aware that the IRS or utility companies don’t take payment in the form of gift cards, they are more savvy to this scam. But now scammers have turned Bitcoin.
Like ATMs, Bitcoin ATMs, or BTMs, are now found in many convenience stores and gas stations offering a quick and easy way to buy and send cryptocurrency. The updated scam follows the same script as above. You receive an unsolicited call from your “bank”, the “IRS”, or from “Amazon”, stating that there is unusual activity or unauthorized charges on your account. The scammer will scare you into believing the story that you owe money to remedy the issue. Once the scammer has scared you into believing something urgent and critical is happening to your money, they will provide the solution to “safeguard your money”, by directing you to a BTM to deposit your money.
Once at the BTM, the scammer sends the victim a QR code which will help you deposit your money into a BTM. If the victim follows through, the QR code goes right to the scammers accounts, leaving the unsuspecting victim with an empty bank account. Scammers have people believing that there is such a thing as government Bitcoin which keeps your money safe. In fact, there’s no such thing.
Clues You Are Being Scammed:
1. Never move your money to “protect it.”– If someone claims there’s fraud or criminal activity on one of your accounts and tells you to move it, that’s a scam.
2. Someone asks you to “share your verification code”. If you use two-factor authentication to help add a layer of protection to access your accounts, and you should, you know that, to unlock your account, you need your password plus a verification code. If you don’t have the verification code, you can’t get in to your accounts. Scammers want that code. If you give it to them, they will be able to log into your accounts and transfer the funds to themselves.
- “Withdraw money and buy gold bars” – Scam. Always. Every time.
- You are directed to “Go to a Bitcoin ATM”. No legitimate person will ever insist you make a payment to a company using cryptocurrency.
- “Buy gift cards”. No legitimate company will ever require or allow you to remedy a situation by using a gift card. Once you share the PIN numbers on the back of the gift card with the caller, your money is gone.
If you hear any of these phrases, especially from an unsolicited caller, hang up, delete the email, stop texting and block the number.
Clues You are Dealing with a Scammer:
1. FEAR. If someone calls and your first reaction is “Oh no!”, then take heed. Scammers use fear, such as saying there is an emergency, or you need to respond immediately, as a means to get you off your guard. If something or someone prompts you into taking immediate action, be cautious.
2. You are being asked for “verification” of your personal information. Is the person asking you to “confirm” your social security number, bank account number any personal information? Especially if you received a call out of the blue.
3. You are told to pay up and Pay immediately. Scammers will say “I can help you”, but insist you pay now.
4. You are asked for payment in the form of a gift card/Bitcoin. No reputable company, no lawyer, not the IRS or Microsoft, will require you to make a payment using a gift card.
5. You are told to tell no one. By asking you to keep a transaction secret, scammers know you won’t have to respond to questions from family and friends who might see through the scam. Check with someone you trust before acting.
6. It sounds too good to be true. Just as your mother used to say, “if it sounds too good to be true, it probably is.” |
