COQUITLAM RCMP are warning the public of a recent cryptocurrency fraud which has defrauded victims out of thousands of dollars.

During the month of December, police responded to multiple cryptocurrency fraud cases in which the fraudster posed as the manager of the victim’s bank. The victims were told that their bank account had been compromised and instructed to take out their remaining money to prevent further fraud.

The victims were then instructed to deposit their money into a cryptocurrency machine to use as bait money to catch the scammers who had compromised their bank accounts.

“A bank will never instruct you to withdraw money to convert it into cryptocurrency in any circumstance,” said Media Relations Officer, Cpl. Alexa Hodgins. “These tech-savvy fraudsters are sending their victims to cryptocurrency ATMs to make the transactions. The fraudsters stay on the phone to guide the victims through the process.”

To add legitimacy to the scams, the fraudsters may pose as credible individuals including banking institutions or government agencies.

“These types of frauds play on the victim’s emotions, and have nothing to do with the victim’s intelligence,” said Hodgins.

To learn more about cryptocurrency frauds, visit the BC RCMP website – Bitcoin and gift card scams.

Prevention Tips:

• Never give out your personal information, especially to an unsolicited caller
• Government agencies do not use cryptocurrency or gift cards as forms of payment. If someone is claiming to be from a government agency or bank and are asking for these forms of payment, it is a scam and you should hang up immediately.
• If you are unsure if you are speaking with the government agency or bank, hang up and call the agency directly through their listed phone number.

For more information on frauds and scams, and additional ways to protect your money, visit the Canadian Anti-Fraud Centre website.

If you have been a victim of fraud or suspect someone may be trying to scam you, contact your local police.