The Federal Bureau of Investigation (FBI) has warned that criminals are posing as lawyers to steal money from people who have already lost funds in cryptocurrency scams.
According to an August 13 FBI advisory, some scammers pretended they worked with government agencies or financial regulators. Others claimed to have partnerships with organizations that do not exist.
A common tactic is to ask for payment in cryptocurrency or gift cards, methods no genuine law firm would accept. Many victims are persuaded because the scammers know how much money they lost before and when those transactions happened.
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Sometimes victims are told to contact a so-called “crypto recovery law firm” and open an account with a foreign bank. The website they are directed to often looks real but is designed to collect personal information and account details.
Other red flags include demands for “bank fees” to confirm identity, refusal to provide credentials, and avoidance of video calls.
The FBI recommended following a “zero trust” approach with any unexpected phone calls, emails, or messages. People should ask for a photo of a law license and verify it with the issuing authority.
Additional precautions include using only trusted phone numbers and websites, avoiding links from unknown senders, and taking time before transferring money or sharing personal data.
The advisory added:
Contact with scammers impersonating law firms continues to pose many risks, including the theft of personal data and funds from unsuspecting victims, to the reputational harm of actual lawyers being impersonated.
Meanwhile, Wisconsin legislators introduced Senate Bill 386 on August 11 to address scams involving crypto ATMs. What does the bill include? Read the full story.
