The Philippines police have cracked the cryptocurrency scam ring in the country and rescued up to 1,090 victims held captive by crypto scammers.
The authorities saved victims from various Asian countries who were smuggled into the country.
The victims were held against their will and forced to operate online crypto hacks.
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More Details of the Story
The local media channel reported the Philippines National Police operations on May 7.
In recent months, the concern over internet scams has increased greatly.
Those individuals smuggled into the country were coerced or tricked into promoting scam crypto investments.
According to the report, the authorities also captured up to 12 suspects who were the ringleaders.
The hackers are believed to have connections to the Colorful and Leap Group.
Allegedly the entity delves into cryptocurrency scams and fraudulent activities.
Increase In Cryptocurrency Scams
Southeast Asia and the Philippines seem to have become the latest hotbed for crypto scams.
Reports have shown that the unsuspecting victims were trafficked into the country with an attractive offer of online jobs, accommodation, and free flights.
However, when the people arrive in the country, the ringleaders will seize their passports.
In addition, they were forced to work 18 hours every day, and their salary would be deducted anytime they took a break.
According to a blockchain security company, Certik, cryptocurrency hacks in April alone have caused up to $100 million in losses.
Reports show that a significant portion of the losses is because of exit scams.
In addition, Meta Chief Security Officer Guy Rosen said, “The new crypto ChatGPT has become what scammers latch on to.
The scammers utilize the hype around artificial intelligence (AI) to orchestrate hacks and distributive malware.
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How the Crypto Scam Works
According to Michelle Sabino, the spokesperson of the Philippines National Police anti-cybercrime group, scammers operate uniquely.
The trafficked people were specially trained to attract strangers to purchase crypto assets or deposit funds into fake bank accounts.
This is after the victims and the strangers have established a bogus romantic relationship.
As per the reports, these victims are mostly Vietnamese citizens, with about 389 and 307 Chines citizens.
Furthermore, the citizens of Malays, Indonesia, and Filipinos were also enticed into operating online crypto scams.
