Scammers are cold-calling individuals promising high returns through crypto assets using fake news sites to gain personal information.
ASIC warned that a common tactic used by scammers is to promote fake articles via social media that look like real news organisations, including ABC News, Sunrise and The Project.
In doing so, when a consumer clicks on the advertisement, they are directed to a site that is not linked with the impersonated publication where they are asked to put in their basic information.
Scammers then follow up by contacting the person making the inquiry, promising an investment with unrealistically high returns.
How to avoid getting scammed
The corporate regulator is warning that crypto assets are largely unregulated in Australia and carry higher risk.
They are warning individuals to not invest money they cannot afford to lose and to seek professional advice prior to investing.
ASIC also highlighted that news outlets do not offer specific advice as part of their news coverage, as well as the corporate regulators will not endorse particular investments.
What victims can do
Many of these scams originate overseas. Once money has left Australia, it is extremely hard to recover, and it is unlikely ASIC will be able to assist an investor to get their money back.
Victims who have transferred funds via bank transfer or credit card should contact their financial institution as they may be able to reverse the transaction, the regulator says, but if investors have paid scammers via crypto assets, bank or credit unions will not be able to assist.
The mainstream media has been running fake news articles designed to mislead investors for years. The most common one is “industry funds outperform retail funds”. Why has ASIC never done anything about all this deceptive fake news in the past?
“..real news organisations, including ABC News, Sunrise and The Project” well these all comment on Financial planning issues and investment all the time so why should the general public be wary?
Well done ASIC – useless.
Nice work ASIC. While people are getting scammed you could be promoting Financial Advice from qualified practitioners and make it easier for advisers to do business, but instead you persecute them. The public are pushed into these scams now. Congratulations.
The public have always been, and always will be, susceptible to a scam. No level of ASIC warnings will change this, and I doubt that ASIC promoting advisers will make a difference. Whilst the three basic human emotions are “greed, fear and greed”, scammers will have victims. Let’s face it, a fool and there money are easily parted. It’s just easier for scammers now, they can work from the comfort of their palatial homes online and move money globally a lot faster.
Well fkn said………..