World Economy

Crypto Scams on the Rise in UK

 Crypto Scams on the Rise in UK Crypto Scams on the Rise in UK

Crypto currency scams are using images of celebrities and upmarket London addresses to hoodwink consumers into parting with cash, Britain’s Financial Conduct Authority said on Friday, Reuters reported. Crypto currencies such as bitcoin and ether are not regulated in Britain, and the FCA said it has received a rising number of reports about investment scams that claim to offer high returns. “UK consumers are being increasingly targeted by crypto currency-related investment scams,” the FCA said in a statement. “Crypto currency fraudsters tend to advertise on social media, often using the images of celebrities or well-known individuals to promote crypto currency investments.” The ads link to websites for investments either using crypto currencies or traditional cash. “The firms operating the scams are usually based outside of the UK but will claim to have a UK presence, often a prestigious City of London address,” the FCA said. Given that crypto currencies are not regulated, consumers are unlikely to get their money back, and are not protected by the Financial Services Compensation Scheme, the watchdog said.

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