Malaysians Cautioned on Rising Crypto Scams as Bitcoin Nears US$100,000
The Malaysian Digital Asset Platform Association (MDAPA) is issuing a warning to investors regarding the increasing risk of cryptocurrency scams as Bitcoin approaches the US$100,000 mark and other cryptocurrencies experience significant surges in value.
Surge in Scams
The growing popularity of cryptocurrencies has led to a rise in unlicensed schemes that aim to exploit unsuspecting investors. Scammers are particularly targeting vulnerable groups, including senior citizens who may not be well-versed in the intricacies of digital currencies. These fraudsters often use social media platforms to lure potential victims with enticing promises of quick and easy profits, aiming to boost their retirement savings.
Tactics Used by Scammers
MDAPA reports that some scammers are impersonating agents of legitimate digital asset exchanges, tricking investors into transferring funds under false pretenses. The association emphasizes that approved exchanges will never guarantee investment returns, showcase displays of wealth to entice investors, or utilize third-party intermediaries for transactions.
Important Guidelines for Investors
To protect themselves, investors are advised to adhere to the following guidelines:
- Conduct all transactions directly through the official app or website of the exchange.
- Be wary of any promises of guaranteed returns or high profits.
- Verify the legitimacy of any platform or agent before making any investments.
Approved Digital Asset Exchanges
The Securities Commission Malaysia has officially approved only six digital asset exchanges:
i. HATA Digital
ii. Luno Malaysia
iii. MX Global
iv. SINEGY DAX
v. Tokenize Technology
vi. Torum International
Additionally, two initial exchange offering platforms have been approved:
- Pitch Platforms
- Kapital DX
A comprehensive list of approved platforms can be found on the Securities Commission Malaysia’s website under the section “Regulated Digital Asset Players.”
Reporting Suspected Scams
Investors are strongly encouraged to report any suspected scams to the Commercial Crime Investigation Department at 03-26101559 or the National Scam Response Centre at 997.
As the cryptocurrency market continues to evolve, staying informed and vigilant is crucial for safeguarding investments and avoiding potential scams.
