California DFPI claims that Crypto Scam Tracker will allow customers "to do their own research and prevent harm to themselves and others."
The California Department of Financial Protection and Innovation (DFPI), a government agency regulating a variety of financial services, businesses, products, and professionals, has launched a Crypto Scam Tracker.
According to the press release shared on February 16th, the tracker lists several crypto scams identified through reviewing complaints submitted by the public.
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In the press release, DFPI noted that the tracker allows Californian “consumers and investors to do their own research and prevent harm to themselves and others.”
The Crypto Scam Tracker functions as a database, which allows investors to search for information regarding the scam type, company name, or keywords related to the specific crypto scams. In the list of crypto scams, customers can find information about scam narratives, its website, and their primary subject.
When talking about the crypto scam tracker, California DFPI Commissioner Clothilde Hewlett noted:
Scammers are in the shadows using the public’s interest in crypto assets to take advantage of the most vulnerable Californians. Through the new Crypto Scam Tracker, combined with rigorous enforcement efforts, the DFPI is committed to shining a light on these ruthless predators and protecting consumers and investors.
At the time of writing, Crypto Tracker contains 36 complaints. The majority of them were related to social media and social engineering scams. This means that a significant amount of victims fell into the traps of malicious actors through social media platforms, such as Facebook, Instagram, WhatsApp, TikTok, or various dating apps.
Based on the currently available data, four-fifths of public reports refer to scams, dubbed “pig-butchering scams.” In the DFPI glossary, the government agency noted that scammers use various methods to establish relationships with their victims and lure them into their traps.
California DFPI spokesperson, Elizabeth Smith, highlighted that consumers claim that the emergence of such Scam Trackers or alerts helps them to “avoid similar scams.”
At the end of 2022, California DFPI warned the public about several fraudulent crypto brokers and crypto-related websites.
