Cryptocurrency scams on Social Media

• Cryptocurrency scams on social media have been increasingly prevalent.
• Scammers are stirring up creative ways that will fool common people easily.
• New Finance Technology was a multi-million-dollar Ponzi scheme.

Scammers have been honing their creativity skills each day. Their schemes have been concocted with extreme diligence making it difficult for common people to deduce the fraud.

One such company, founded in Italy, was recently found guilty of scamming many through social media. These intricate scams have many steps which lure people. Generally, it would begin with hacking into an account that people trust. On this account, they post fake evidence of people winning a substantial amount of currency in a short time.

Since the screenshots and chats are provided by a credible source, the account followers would then be intrigued and eager to earn easy money. They are then invited to the account of the Bitcoin mining company that allegedly earned them the money in the captions.

This step could seem innocent; however, scammers gain access to sensitive information when the account name is clicked on. This is what makes these schemes much more creative than the traditional scams that require you to deposit money into a bank account.

New Financial Technology (NFT) was one such elaborate Ponzi scheme that claimed a 10% return on invested capital using arbitrage operations. This company was around for four years scamming around 6000 people during the time. The victims invested from 10,000 to 300,000 Euros in this scam.

The founders made a whopping 40 to 100 million Euros from this well-brewed Ponzi scheme. Two of the three founders have gone underground, while the third is desperately attempting to defend themselves in court. He claims to have not been aware of the scheme and joined the company later.