Connect with us

Crypto

Fake Elon Musk scams have cost consumers $2 million in crypto over the last six months

That’s just a small part of the $80 million lost over the last six months.

fake elon musk
Image: KnowTechie

Cryptocurrency scams have been plaguing consumers for years. A new report from the FTC shows that consumers have lost over $2 million to scams run by fake Elon Musk accounts over the last six months.

These types of scams have run rampant across sites like Twitter for years. People will create and establish accounts using Musk’s profile pictures and having slightly different names. Using this fake identity, scammers will then ask users to send cryptocurrency to a certain wallet with a promise for a larger immediate return.

The Federal Trade Commission (FTC) originally reported these figures. In addition to the more than $2 million lost to fake Elon Musk scams, the FTC reported that cryptocurrency scams are responsible for consumers losing more than $80 million since last October, with the average consumer losing almost $2,000 per scam. This number has grown significantly when compared to past years.

These types of scams typically follow the same pattern. Someone creates a fake profile impersonating some popular figure. The scammers will then promise unreal return rates if you simply send cryptocurrency to the account that they request. Sites like Twitter have rules against these kinds of scams, but it is difficult for moderation tools to keep up with the sheer volume of attacks.

As cryptocurrency continues to gain popularity, scams of this sort are sure to continue, and will likely become even more prevalent due to the abstract nature of cryptocurrency. The FTC warns that any kind of promise for ridiculously high guaranteed returns is likely a scam, especially when it involves cryptocurrency. The best course of action when keeping an eye out for these scams is: If it seems too good to be true, it probably is.

Have any thoughts on this? Let us know down below in the comments or carry the discussion over to our Twitter or Facebook.

Editors’ Recommendations:

Comments

More in Crypto