Malaysian Police Arrest 14 Chinese Nationals for Alleged Crypto Scam


Malaysian police have arrested 14 Chinese nationals for an alleged crypto scam targeting investors in their home country.

April 20, 2020 | AtoZ Markets – Another cryptocurrency-related scam led to the arrest of 14 Chinese men near Singapore. The group impersonated wealthy investors and targeted victims through popular Chinese messaging applications, WeChat and QQ.

Malaysian police arrest Chinese crypto scammers targeting China

According to a recent local report, the Chinese men conducted the crypto scam for at least two months. Authorities were surveilling the group for the past several weeks. They made the arrests On Saturday, April 18th, in Iskandar Puteri, near Singapore. According to Dzulkhairi Mukhtar, the Assistant Commander explained that the perpetrators aged between 20 to 30.

“One of them would pose as a successful investor or a mentor while the rest will pose as investors before creating a group chat through WeChat and QQ Messaging applications for each of their victims. All of the suspects would then give a fake testimony to persuade the victim into investing,” Mukhtar explained.

Despite the lengthy investigation, Dzulkhairi said that the number of victims and the total value of money scammed by the group is still unknown.

If convicted, the perpetrators risk facing jail time up to 10 years plus the possibility of a fine, the report noted.

Read: BitClub Network Crypto Scammers Seek Release Over COVID-19 Fears

Previous Crypto Scams

Unfortunately for legit cryptocurrency users and investors, digital assets have their fair share of involvement in fraudulent activities. A similar example came recently when another group of people impersonated famous individuals. In this particular case, the names were Harry and Meghan.

By posing as the Duke and Duchess of Sussex, the scammers lured potential victims into investing in a suspicious auto-trading program called Bitcoin Evolution. After examining the website and its features, though, several red flags appeared suggesting it worked as a full-on scam.

Related: Crypto scams in the UK totalled $34 mln

Even more alarmingly, the number of scams increased after the COVID-19 pandemic harmed the world population. Even the Federal Bureau of Investigation (FBI) issued an official warning regarding such swindles involving cryptocurrencies.

The agency advised people to exercise caution when receiving phishing or blackmail emails, work from home fake ads, or “too good to be true” investment propositions where they have to send some sort of digital assets.

Do you think that crypto scams are indeed some of the most dangerous scams out there? Share your thoughts in the comments section!

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