MSHP warns of growing number of cryptocurrency fraud across the state

MISSOURI (KQTV) -- The Missouri State Highway Patrol's Division of Drug and Crime Control is warning the public about a growing number of cryptocurrency fraud cases reported across the state.

Investigators have seen a considerable increase in scams often targeting older adults and other members of the public, resulting in significant financial loss.

MSHP said criminals are using the internet, social media, email, dating sites, end-to-end encrypted messaging apps and phone calls to convince victims to send money through cryptocurrency, like Bitcoin or other cryptocurrencies.

The scams are designed to appear legitimate and frequently rely on urgency, fear or promises of guaranteed returns. MSHP said that many times, the victim will be groomed and have established mutual trust with the scammer before money is requested.

Anyone who believes they have fallen victim or if someone suspicious has reached out is encouraged to call local law enforcement as soon as possible.

Common warning signs of cryptocurrency fraud include:

• Pressure to act quickly or claims that immediate action is required to avoid arrest, financial loss or legal trouble.
• Requests for payment in cryptocurrency, gift cards, wire transfers, Bitcoin ATM (or kiosk).
• Unsolicited contact from individuals claiming to represent government agencies, financial institutions, tech support or investment firms.
• Promises of guaranteed profits or “risk-free” investment opportunities.
• Instructions to keep the transaction secret, including requests not to tell family members, friends, law enforcement or bank employees.
• Online relationships (romance schemes) that quickly turn into requests for money or investment assistance.
• Requests for personal or financial information are sent through email, text message, or social media.

MSHP said legitimate agencies and law enforcement do not request payment in cryptocurrency, gift cards or wire transfers. Reporting the scams as soon as possible will help assist in the recovery of funds.

Scammers often impersonate trusted organizations or individuals to gain credibility with the potential victim.

Cryptocurrency owners should never share their wallet's seed phrase and should always confirm the legitimacy of the websites and apps before logging into their accounts.

If individuals are asked to withdraw or deposit cash into a Bitcoin (BTC) kiosk, pause and read the kiosk's disclaimers carefully, as they often include fraud warnings.

MSHP encourages cryptocurrency users to take time to verify requests for money or information, talk with a trusted family member, friend or financial professional before making financial decisions and to report suspected fraud immediately to local law enforcement and MSHP.

Cryptocurrency owners should always use two-factor authentication on all crypto accounts, keep their devices updated and use strong passwords.

MSHP said anyone who believes they have been targeted or victimized by a scam should contact the Attorney General's Consumer Protection Hotline at 800-392-8222 or file a complaint online at the Attorney General's website.