A new scam tracker has been made available by the Wisconsin Department of Financial Institutions (DFI) to shield investors from the growing number of cases of investment fraud and cryptocurrency.
The newly launched tracker thoroughly explains dishonest practices based on customer complaints, helping Wisconsinites recognize and stay away from fraudulent schemes.
This project is a reaction to the alarming trend of cryptocurrency fraud and financial grooming, popularly called “pig-butchering,” which caused losses totaling more than $3.5 million between January 2022 and June 2024.
DFI Secretary Cheryll Olson-Collins said that “scammers are operating in the shadows, taking advantage of the public’s interest in crypto assets to exploit the most vulnerable Wisconsinites.”
Cryptocurrency Fraud Prevention Enhanced Tracker To Combat Scams And Protect Investors
Scammers who pose as trustworthy and win the trust of their victims by convincing them to part with substantial quantities of money to fund fraudulent operations perpetrate romance and pig-butchering scams. After the victims invest, the con artists typically disappear with the money, often pressuring them to make more investments before they do.
Users can search for scam categories, firm names, or keywords on the newly enhanced scam tracker. It has links to other information, a dictionary of terms related to investment scams, and a section dedicated to frequently asked questions.
Scammers will find it more difficult to trick potential victims with the information provided, even though the DFI does not confirm the factual veracity of the allegations.
Locals should exercise extreme caution when accepting investment offers, especially when they involve cryptocurrencies, which have the potential to be irreversible and untraceable, Olson-Collins advised.
She emphasized that being cautious and doing your research are essential in the fight against fraud and advised against giving money or account access to strangers you meet online.
Don’t give anyone you meet online money or access to your digital wallet or bank account; just be careful. Don’t send them money, don’t invest your own money on their recommendation, and don’t take out a loan on their behalf. Olson-Collins said, “If you follow these guidelines, you are less likely to fall victim to a Bitcoin investment fraud.
Due to the increasing prevalence of imposter scams, which include fraudulent companies posing as legitimate firms, the DFI has recommended that the public verify businesses through reputable government sources before making any investments.
