Irish Fraudsters Shift Focus from Crypto Investors to Traditional Banking Customers Amid Bear Market
Summary:
Amid a bear market spanning two years, fraudsters in Ireland are increasingly targeting regular banking customers as opposed to cryptocurrency investors. Irish customers have lost approximately $21.8 million to scammers posing as banking officials this year. Irish authorities have recovered some of the defrauded funds, but recent reports show a sharp decline in cryptocurrency scams. Instead, fraudsters are mimicking bank websites and literature to swindle victims. Meanwhile, an Australian bank stated that 40% of scams involve cryptocurrency transactions.
Traditional banking customers in Ireland are being targeted by fraudsters more frequently than cryptocurrency investors, despite the dip in the crypto market over the past two years. There tends to be a relationship between the number of cryptocurrency scams and the level of speculation and profit surrounding the crypto industry. However, the downturn in the crypto world has seen a decrease in the number of scams and dubious businesses, leaving behind genuine, diligent investors. This shift has prompted Irish scammers to instead focus on banking clientele.
Based on data from the Irish Independent, Irish victims have lost close to $21.8 million, approximately 20 million euros, to con artists pretending to be representatives of reputable banks this year alone. A source revealed a recent trend of victims being contacted by alleged employees of well-known British banks or trading houses, via phone or email.
Deceptive individuals employing this method use false identity as bank representatives to catch unsuspecting clients through calls and emails. Currently, numerous similar cases are under investigation by Irish police, who were able to reclaim $2.1 million (2 million euros) from one culprit.
Since the beginning of 2023, Irish authorities have recovered nearly 20% of the 20 million euros lost in various banking scams. According to the Irish Independent, cryptocurrency scams, which once dominated investment fraud activities by 95%, have seen a significant downturn. This has led to fraudsters opting for the simpler option of replicating bank websites and literature to trick victims into parting with their money.
Multiple UK bank accounts, over twenty in total, have been identified in connection to the fraudulent individuals, but the operation is yet to be disrupted fully. The Bank of Ireland has issued advice to customers urging caution when pressured by supposed bank employees to make swift, unconsidered decisions - a popular tactic employed by scammers.
In other news, while Ireland grapples with a surge in fraudulent activities against banking clients, an Australian bank reports that 40% of scams somehow involve cryptocurrencies. Presenting at the Australian Blockchain Week on June 26, Sophie Gilder, managing director of blockchain and digital assets at Commonwealth Bank (CBA), noted that a third of all money extracted by Australian scammers involve digital currencies. Nigel Dobson, who oversees banking services at ANZ, used Australian Financial Crimes Exchange data to suggest the rate could even be closer to 40%.
Published At
10/16/2023 10:09:13 AM
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