Crypto fraud

It sounds tempting: investing money in Bitcoin or in another cryptocurrency (digital currency) from which you can supposedly make a lot of money in a short period of time. But it can go wrong and you can lose a lot of money if you don’t have the right knowledge and trust the wrong people.

What is crypto fraud?

In the world of crypto you can make a lot of money, and that attracts criminals. Criminals try and persuade you to invest in cryptocurrency via (online) advertisements or messages from well-known Dutch figures on social media. When you respond to the message, someone contacts you pretending to be a ‘financial advisor’ who wants to help you invest. At first, they help you to start buying cryptocurrency using a crypto platform to gain your trust. They eventually disappear, along with your cryptocurrency.

What should you look out for?

    Take extra care if you want to start investing in cryptocurrency and don’t know much about it. Don’t just trust any place where you can buy cryptocurrency or someone who offers to help. Do not fall for campaigns featuring famous people on social media who offer (free) Bitcoin or other cryptocurrency. Don’t respond to appealing (online) advertisements about quickly making money with cryptocurrency. Did someone call you to offer to help you buy cryptocurrency? Hang up right away.

What can you do?

If you want to invest in cryptocurrency, this list can help you avoid fraud:

    Always conduct your own research into the party to which you plan to transfer money. Check whether the place where you buy or trade cryptocurrency is to be trusted and is well-known. Decide in advance which cryptocurrency you want to buy and research it. Do you have an advisor who helps you purchase cryptocurrency? Be careful if this person contacted you via an (online) advertisement. In online advertising, criminals often use the face or name of famous Dutch figures, without their knowledge. Never transfer money for a course or advice, e.g. €250 for start-up costs. Never transfer money on the instructions of someone else. Be extra vigilant if you have to transfer money to a foreign account. If you need a crypto wallet, always create it yourself. A crypto wallet is a digital wallet. You use it to store cryptocurrency. Always keep your login details secret and don’t let anyone sneak a look at them. Do not install any software (such as AnyDesk or TeamViewer) the other person can use to view your screen. Never give someone else your crypto wallet access codes (or keys). Do not transfer large amounts of money if someone says that it is necessary to get your money back after losing it. Be cautious about hiring companies that say they can help you get your money back. This is another way for criminals to steal even more money from you. Does the party to which you are transferring money claim it has a license from the Dutch Authority for the Financial Markets (AFM)? Always check whether the party appears on the AFM’s warning list or on the IOSCO’s international list.
Check out the AFM’s list on afm.nl (Dutch)
Check out the IOSCO’s list on iosco.org

Check and report fraud

Do you feel something is wrong? Then report it immediately to us or to the AFM.

Further reading

Learn to recognize fraud

Secure business banking (Dutch)