BPD Community Alert: Scams Targeting Older Adult Involving Cryptocurrency
Boston residents’ financial loss was over $9 million to cryptocurrency scams in 2024. Losses could rise even higher in 2025 as scams become more sophisticated and widespread.
Common Scams Targeting Older Adults:
1. Investment Scams: These include rug pulls, pump-and-dumps, and pig butchering schemes. Scammers promise huge profits with no risk and often approach victims via social media or dating apps. They may use fake celebrity endorsements or pose as “investment managers,” encouraging victims to buy crypto that can only be accessed through fake platforms.
2. Cryptocurrency ATMs (Bitcoin ATMs/CVC Kiosks): Scammers pressure victims to withdraw cash, convert it to crypto at an ATM, and send it to a scammer-controlled wallet. They often stay on the phone, walking victims through the process. These transactions are nearly impossible to reverse. Always keep receipts to share with law enforcement.
How to Protect Yourself:
- Research Before Investing: Understand the crypto, who runs it, and read independent reviews.
- Keep Your Private Key Private: Never share your wallet’s private key, even with someone you’re dating online.
- Use Official App Stores: Download crypto apps only from trusted platforms like the App Store or Google Play.
- Be Skeptical of Social Media Ads: Scammers heavily use ads to promote fake investments.
- Ignore Cold Calls: Unsolicited investment offers are almost always scams.
- Be Cautious With Crypto ATMs: Never send money to “protect it” or resolve supposed legal issues. Scammers can spoof caller ID to appear legitimate. Verify any claims by contacting organizations directly using official contact details.
Resources and Reporting:
- If you have paid scammers, there are some actions you can take to protect yourself from further issues and potentially get money back. Follow the link here.
- Victims are encouraged to file a police report with their local area station.
- Federal Trade Commission (FTC) for all telephone originated or US business related fraud via telephone or mail. Follow the link here.
- FBI’s Internet Crime Complaint Center (IC3) for all internet, email or cryptocurrency-based frauds. Follow the link here.