FTC Report, 46 Thousand People Affected By Crypto Fraud With Losses Of More Than IDR 14 Trillion

Crypto fraud is becoming more and more common using social media. (photo; doc. pixabay)

JAKARTA - More than 46,000 people have reported losing more than 1 billion US dollars (Rp. 14 trillion) in cryptocurrency fraud since early 2021. This fact emerged from a Federal Trade Commission (FTC) report published Friday, June 5.

The FTC also said that nearly half of the people who reported losing digital currency in a scam said that it all started with an advertisement, post or message on a social media platform.

The cryptocurrency frenzy was at its peak last year when bitcoin hit a record high of $69,000 in November 2021.

The report also points to social media and crypto as a combustible combination for scams. The FTC also added that about $575 million of all losses related to digital currency fraud were about "false investment opportunities".

Nearly four out of every ten dollars lost in scams stemming from social media are lost in crypto, far more than any other payment method. Instagram, Facebook, WhatsApp and Telegram are the top social media platforms in fraud cases according to the report.

The FTC also states that the average loss reported for an individual is up to $2,600 (Rp 37.5 million) and bitcoin, tether and ether are the top cryptocurrencies that people use to pay scammers or fraudsters.