Belgians See EUR 2.2 Mln Losses from Crypto Scams in 2018

A total of 118 Belgians have reported losses amounting to EUR 2.2 million from various cryptocurrency-related scams since the beginning of the year, according to data is published on the website of a new public awareness campaign on crypto scams. The campaign was launched by Belgium’s Financial Services and Markets Authority (FSMA), the Ministry of Employment, Economy and Consumer Affairs and financial and investment advice site Wikifin.

According to official estimates, only around 4% of the victims of scams file formal complaints with the authorities. So, the actual losses from crypto frauds in the first half of 2018 in Belgium could amount to some EUR 130 million.

The site is called “If it's too good to be true, it's because it's not” (tropbeaupouretrevrai.be) and informs the general public of the risks of fake initial coin offerings (ICO) and other cryptocurrency-related scams.

“Scams and impostors are many and have, alas, always existed, but crooks are more and more inventive,“ the main page of the site says. „In recent years, they are massively active on the internet with the sole purpose of setting traps for their victims to fleece them. This site is intended to warn you against these scams and to help you avoid them. A golden rule to not be fooled by: always find out who you are dealing with."

Meanwhile, the Belgian authorities have identified 42 websites, all launched less than a year ago, as potentially fraudulent. They operate from abroad and as a result, the Belgian authorities cannot block them. In almost all cases of fraud, the stolen money has been transferred to foreign accounts in 12 different countries, mainly in Europe.

The website also quotes some other data, based on complaints filed with Belgium's Economy Ministry. Since the beginning of 2017, the Ministry has received 8188 reports of online financial scams and losses of EUR 13.6 million. Considering the already mentioned fact of the real number of victims, in a year and a half, Belgians lost around EUR 340 million to various financial scams.

“The goal of this campaign is twofold,” said Kris Peeters, Belgium’s Deputy Prime Minister and minister of Employment, Economy and Consumer Affairs, in charge of Foreign Trade. “On the one hand, this black figure of 96%, we want to lower it. The more victims that make themselves known, the more likely we will be able to stop the crooks. Secondly, we obviously want to reduce the number of people who are trapped. Fewer human tragedies, less social and economic damage. In this way, we can make sure that the amounts that fall into the hands of criminals are reduced by several million euros.”

In addition to the startling data, the website offers video testimonials of victims of cryptocurrency scams, advise on how to avoid them, as well as the option to verify the reliability of the investment proposal and to report a scam.

Read more: https://coins.online/cryptocurrency-news/