According to a new report from the Australian Federal Police (AFP), Australians lost $122 million to crypto scams over the past 12 months.
Data and Statistics
On August 28, AFP released a statement revealing that a total of $269 million had been lost to investment scams over the last year, with 47% of them related to cryptocurrency. Data from the government website Scamwatch shows that most scams originate from text messages or emails.
Scam Methods
AFP Assistant Commissioner Richard Chin highlighted a key finding: about 60% of victims were under the age of 50. Main scam methods include "pig butchering" and "deepfakes," which rely on modern technology. 'Pig butchering' involves building personal relationships before encouraging fraudulent investments, while deepfakes use AI to generate fake audio and video of famous people like Elon Musk to convince others to invest.
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Richard Chin emphasized that AFP data might only be the tip of the iceberg, as many victims might be unaware or too embarrassed to report the crime. He also noted that stolen funds could be used to finance other criminal activities such as money laundering or drug trafficking. Scamwatch data shows that investment schemes account for the most significant losses, totaling over $68 million in 2024, with the majority of victims being over 50 years old.
Crypto scams remain a significant threat to Australians. AFP and government sites like Scamwatch continue to warn citizens about the risks of too-good-to-be-true investment opportunities.
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