Boston Police Department Warns Public of Rising Cryptocurrency Scams
The Boston Police Department urges residents to remain vigilant as cryptocurrency-related scams continue to rise. In 2024 alone, financial losses related to these scams in Boston are expected to exceed $9 million. With increasingly sophisticated fraud schemes emerging in 2025, authorities anticipate even greater losses nationwide.
Below are common cryptocurrency scams, tips to protect yourself, and guidance on reporting fraudulent activity.
Common Cryptocurrency Scams
Investment Scams
Fraudsters promise big payouts with no risk, often using social media, fake celebrity endorsements, or online dating platforms to lure victims. Scammers posing as “investment managers” claim they can grow funds but require an upfront crypto payment. Once funds are transferred, victims are often unable to retrieve their money.
Blackmail & Extortion
Scammers may send emails, texts, or letters claiming to have compromising personal information or photos. They threaten to release this material unless paid in cryptocurrency. Some fraudsters also claim to have evidence of illegal activity and demand crypto payments to avoid legal action.
Imposter Scams
Fraudsters impersonate trusted entities such as banks, government agencies, law enforcement, and utility companies. They pressure victims into transferring money via cryptocurrency, claiming it is necessary to resolve fraud, avoid legal trouble, or prevent service disruptions.
- Company or Bank Imposters: Scammers claim there is fraudulent activity on an account and instruct individuals to transfer funds to a crypto wallet for safekeeping.
- Government or Law Enforcement Imposters: Victims are falsely told they face arrest or legal action unless they pay fines in cryptocurrency.
- Employment Scams: Fraudulent job postings on legitimate websites lure victims into depositing fake checks and using the funds to purchase cryptocurrency for a non-existent client.
- Cryptocurrency ATM Scams: Scammers provide step-by-step instructions for sending money via cryptocurrency ATMs to disguise fraudulent transactions.
How to Protect Yourself
- Do Your Research: Verify cryptocurrency investment opportunities by reviewing official documents and looking for independent testimonials. The Massachusetts Attorney General’s Cryptocurrency Scam Tracker is a useful resource.
- Secure Your Crypto Wallet: Never share private keys or seed phrases with anyone. Legitimate investment opportunities do not require this information.
- Download Apps Only from Official Sources: Stick to verified platforms such as the Google Play Store or Apple App Store.
- Be Skeptical of Social Media Ads: Many scams originate from misleading ads and fake testimonials.
- Ignore Unsolicited Contacts: If someone reaches out unexpectedly with a crypto investment opportunity, it is likely a scam.
- Verify Caller Identities: Scammers can spoof phone numbers to appear legitimate. Always contact banks, government agencies, or law enforcement through official channels before sending money.
Report Cryptocurrency Fraud
If you suspect fraudulent activity, report it immediately:
- Boston Regional Intelligence Center (BRIC): 617-343-4328 | Fax: 617-343-5222 | Email: BRIC@pd.boston.gov
- Federal Trade Commission (FTC): Report fraud online
Stay informed and protect yourself against cryptocurrency fraud. Awareness is the first step in preventing financial loss.