France is experiencing an increase in financial scams due to the growing popularity of cryptocurrencies. Authorities are actively working to protect consumers.
Increase in Cryptocurrency Scams
According to reports, losses from fake crypto investments have risen since mid-2023, with victims losing an average of €29,000. In 2024, 3.2% of French adults were victims of financial scams, up from 1.2% in 2021. Young men under 35 are the most frequent targets, often influenced by appealing social media ads.
Methods Used by Scammers
Scammers are employing increasingly sophisticated techniques, including impersonating government officials and banks. A new scam known as 'square fraud' involves scammers reaching out to past scam victims with offers to recover lost money for a fee. Additionally, there is a worrying trend of using AI-generated content, such as deepfake videos, to deceive individuals.
French Authorities' Response
French regulators, such as the AMF and ACPR, along with the Paris Public Prosecutor’s Office, are actively working to prevent and combat financial scams. Public awareness campaigns educate people about the risks associated with cryptocurrency investments, emphasizing the need to check investment platforms carefully. The AMF and ACPR are also striving to ban unauthorized crypto entities and collaborating with law enforcement to prosecute offenders.
With the rise in cryptocurrency popularity in France, scams are increasing. Authorities are intensifying efforts to protect citizens and raise awareness of potential threats.
