Crypto Involved in 66% of All Investment Fraud in UK Last Year: City of London Police
Crypto fraud constituted 66% of all investment fraud in the UK in 2023, with victims losing $830.4 million (£649 million), a $549 million (£428 million) loss for residents. Reports to Action Fraud decreased by 7%, but financial losses rose by 13%. Social media played a significant role, with 36% of reports linked to platforms like WhatsApp, Facebook, and Instagram. Celebrity impersonation frauds accounted for 2% of cases, with Martin Lewis (44%) and Elon Musk (40%) being the most impersonated. Scammers are increasingly sophisticated, using AI-generated content to deceive victims. Legal experts confirm a rise in crypto scams, attributing this to the allure of high returns and the anonymity of cryptocurrency transactions. The transparency of blockchains complicates tracking and prosecution efforts. Predictions indicate a potential increase in crypto fraud in 2025, aligning with global reports suggesting cryptocurrency scam revenue reached $12.4 billion last year.
