US Federal Trade Commission warns of new crypto scam

The attackers use QR codes and crypto ATMs in their scheme

12.01.2022 - 09:50

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1 min

What’s new? The US Federal Trade Commission (FTC) has issued a new scam alert relating to the use of crypto ATMs and QR codes. The fraudsters may pose as government officials, law enforcement officers, or utility employees.

The FTC warning

How does the scheme work? The scammers pose as government officials or other individuals. They offer the victims some kind of service or inform them that they have won a prize and then ask them to buy the cryptocurrency through an ATM. They then send a QR code, which, when scanned, sends all of the victim's funds to the attacker's wallet.

How do the authorities warn users? According to a report by Chainalysis, the number of cryptocurrency-related crimes increased by 81% in 2021. As such, the FTC urges the public to exercise caution and not to send money to strangers on the network:

“Here is the main thing to know: nobody from the government, law enforcement, or utility company will ever tell you to pay them with cryptocurrency.”

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