Stay vigilant: Cyber fraudsters targeting P2P Crypto traders

HYDERABAD: As you may be aware, various forms of cyber fraud are on the rise, leading unsuspecting victims to fall prey to schemes where they unknowingly transfer funds to accounts provided by fraudsters. However, there exists another group of victims who endure the consequences of cyber fraud without being direct targets or beneficiaries.

Who are they?

They are individuals engaged in peer-to-peer (P2P) crypto trading.

How? With law enforcement agencies intensifying efforts through the 1930 online financial fraud helpline and cybercrime reporting portal, freezing bank accounts linked to fraudulent transactions has become more common. Consequently, fraudsters have resorted to using intermediary 'mule' accounts to evade detection. Moreover, these cybercriminals continuously devise new tactics to avoid apprehension and launder illicit proceeds, making it challenging for authorities to intercept and recover stolen funds.

As the popularity of cryptocurrency rises and P2P trading becomes more accessible, cyber fraudsters actively target participants through various communication channels, including Telegram. They exploit unsuspecting individuals by converting criminal proceeds—whether from Indian rupees (INR) to crypto or vice versa—under the guise of legitimate trading activities.

Unfortunately, individuals eager to profit from P2P crypto trading often remain unaware that they are inadvertently handling illicit funds. Consequently, when these individuals file complaints through the 1930 helpline or cybercrime reporting portal, their transactions become flagged, leading to the freezing of their bank accounts.

Initially, the individual's bank account is frozen, and if restitution is necessary for the original victim, the bank is obligated to refund the amount from the individual's account. Consequently, while the fraudster absconds with converted funds, the innocent crypto trader faces significant hardships.

P2P trading platforms, recognising the benefits of this mode, increasingly promote it. However, this shift exposes individuals to the risk of aiding cyber fraudsters, either knowingly or unknowingly, in laundering criminal proceeds through cryptocurrency and transferring funds abroad. Consequently, law enforcement authorities encounter greater challenges in recovering stolen assets.

Advisory

• Ignore any messages regarding part-time job offers or online trading.
• Refrain from engaging with messages or calls concerning cryptocurrency trading.
• It is strongly recommended to abstain from participating in peer-to-peer (P2P) crypto trading.
• Exercise caution when trading with anonymous individuals or new acquaintances encountered online.
• For any complaints related to cyber issues, promptly contact 1930.