The increasing COVID-19 epidemy across Europe and other world continents continues to deal a huge blow on fake cryptocurrency schemes.
Governments across the world are warning their citizens to be wary of scammers who may want to use the present world’s situation and the economic downturn to steal funds from unsuspecting individuals.
Owing to this, the public health emergency seems to have greatly impacted the rate at which people are falling prey to scammers across the world, an analysis by Chainalysis indicates this.
Those profit-seeking but jobless individuals who exploit people about have now been rendered somewhat useless as their greedy scheme stopped paying off to a certain extent.
According to the Chainalysis, the total daily value of funds sent to cryptocurrency scams dropped significantly by 61% between March 13 and March 31 with investment scams and Ponzi schemes affected the most.
As investment scams and Ponzi schemes are being affected, some fraudsters are having a new story to narrate at this COVID-19 period.
Phishing and blackmail cryptocurrency scammers are also using COVID-19 to exploit people. They trick unsuspecting people into sending funds or giving up access to their cryptocurrency wallet under false pretenses.
As well, phishing scams are on the increase. Scammers using this idea are now spinning their strategy. In all, Ponzi schemes and investment scams have been affected the most.
The two sections received 95% of all scam funds in 2019. However, since March 8, the weekly average amount spent on these two scam ideas has dropped by from $4.2 million to just under $2.9 million.