Crypto investors of India failed to distinguish between real and fake apps and sites. Thus they lost $128 million to many ongoing cryptocurrency scams. The market of crypto is still in the red. Yet an 11% rise is seen in Dogecoin. As per a report, one of the main reasons that Indian crypto investors were prey to such types of cyberattacks was as the attackers replicated one similar copy of the real crypto site. It was thus difficult for anyone to distinguish between a real and a fake site or exchange. In this article, you can understand a bitcoin smart contract for a safe crypto trading platform to invest in Bitcoin?
The worldwide crypto market cap fell by 0.92 % to $950.24 billion. Yet the volume of the worldwide crypto increased to $57.75 billion by 16.38 %. This scam mainly worked as fraudsters bought domain names similar to the original sites they wanted to impersonate. Then they went to create sites that visually look similar to their target site, including the frontend designs and the user dashboard.
Prospective victims are found through social media where the fraudsters make fake accounts with profile pictures and female names. They make use of such accounts for convincing unsuspecting users to trade or invest in crypto through fake exchanges. For enticing the users to join the fake trading platforms $100 credit is offered to them.
How was the fraudulent activity carried on?
As per the report, victims usually make some profit from the free credit. It then convinces them to start trading huge amounts of their money making use of the platform. It is done with one expected to make even bigger returns.
Once the victim starts to deposit their funds into the fake exchange, their accounts become frozen. Then money is withdrawn by the scammer from the platform. The fraudsters take it a step further by impersonating those investigators when victims start to complain regarding losing account access. By posing as the investigators, then the scammers are capable of earning profit more by asking for the personal as well as bank details of the victim.
For retrieving the frozen assets, victims are requested to give confidential information like ID cards, bank details, etc. through email. Such details are used for perpetrating other illegal activities.
Such crypto scams have plagued the industry for many years. But this year fraudsters are very active. In the month of April, more than $114 million got stolen from the Ronin bridge of Axie Infinity by hackers. Last month more than $1.5 million prices of Moonbirds NFTs got stolen through phishing attacks.
Price of cryptos
The oldest crypto of the world has been trading at $21150.37 and Ether was also down by nearly 1.01 %. The crypto market leader slightly feels yet continues to hold steadily more than $21000. Ether is more than $1200. The fight for the upward trend holds back a chance of a rally far away now. This week may be more decisive with any strong support or maybe a further price breakdown.
Cardano has been down by nearly 0.48 %, Algorand was at 2.62% loss, Solana was at 3.29 % loss, Polkadot was 1.53 % down and Binance Coin was 1.04 % down. GGT was the top gainer as it was up by nearly 2429.75 %. SUPE has been 62.68 % down and thus the top loser.
Dogecoin was 10.58 % up and 0.1051 is its volume to market cap ratio. Shiba Inu has been 2.07 % down. FLOKI Inu lost nearly 6.85 % and SAMO increased by almost 14.86 %. Yearn Finance fell 5.21 % down and Terra Classic saw a 33.57 % gain. Avalanche fell nearly 4.08 %, Aave saw a 5.1 % fall and Uniswap saw a 2.81 % gain.
Conclusion
Fraud cases involving cryptocurrency are reported very often in India. It is mainly because of the digital asset’s growing popularity. Also, the lack of a proper legal framework for regulating them contributes to this. The government of India has been reportedly planning to include a cryptocurrency regulation bill only when one consensus is reached at the worldwide level. Recently police in India arrested two private investigators who stole around 1137 Bitcoin. It happened when the police investigated a cryptocurrency-based MLM scam that involved 87000 Bitcoin.
