Crypto Scammers Face Crackdown: ASIC Pulls The Plug On Over 600 Fraudulent Sites

Crypto Scammers Face Crackdown

Crypto Scammers Face Crackdown

As crypto scams have rapidly increased over the past few years, crypto crackdowns in different regions have intensified. Highlighting this is the move from the Australian Securities and Investments Commission (ASIC), which has recently stepped up its crackdown on fraudulent activities online by unplugging several scam-related websites.

In its latest media release, the regulator noted:

Scammers use digital platforms, including social media, to lure unsuspecting consumers, directing them to scam websites. Shutting down these websites disrupts the transmission of the scam and breaks the link between scammers and their potential targets.

600+ Crypto Sites Axed

According to the ASIC’s latest media release, it has “methodically” dismantled many websites perpetrating investment scams over the past year, with a notable focus on cryptocurrency.

The release particularly disclosed that since July 2023, the ASIC’s efforts have led to the closure of more than 7,300 websites implicated in various schemes designed to deceive Australian investors.

Among these, websites specifically targeting cryptocurrency investors are less than those targeting traditional investors. The report noted:

Since July 2023, ASIC has coordinated the removal of over 5,530 fake investment platform scams, 1,065 phishing scam hyperlinks and 615 cryptocurrency investment scams.

Websites shut down by the ASIC. | Source: ASIC

The report highlighted that Australians alone lost roughly $1.3 billion to investment scams in 2023. Deputy Chair of ASIC, Sarah Court, commented on the severity of the issue in a recent statement.

She pointed out that scammers employ “sophisticated techniques” to target Australians “indiscriminately,” aiming to “steal information and money.” Sarah Court added:

The scams landscape is rapidly evolving. Innovative technology developments may improve how we live and work, however they also provide new opportunities for scammers to exploit. Every day an average of 20 investment scam websites are taken down. The quick removal of malicious websites is an important step to stop criminal scammers from causing further harm to Australians.

Among the shutdowns was the website Dexa Trade Markets, a purported investment platform that falsely claimed international regulation and boasted exaggerated trading volumes and investor counts. ASIC’s prompt action led to the takedown of Dexa Trade Markets within an hour of its identification.

Australia Continous Crackdown

It is worth noting that the website crackdown by Australian regulators is just one of the steps taken to curb crypto scams in the region. Earlier this month, the Australian Federal Police (AFP) targeted 2,000 compromised crypto wallets belonging to residents in Australia.

As reported by Bitcoinist, this move was in collaboration with Blockchain-insights company Chainalysis. Meanwhile, last week, ASIC filed a lawsuit against ASX, an Australian Securities Exchange (ASX).

The global digital currency market cap value on the 1-day chart. Source: Crypto TOTAL Market Cap on TradingView.com

Featured image created with DALL-E, Chart from TradingView

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