Per data compiled from Q4 2020 and Q1 2021, the FTC received reports of 6,792 cryptocurrency investment scams adding up to $80 million in losses. That figure compares to reports of 570 cryptocurrency investment scams adding up to $7.5 million in the same period the year before.
The report found that young investors were especially prone to becoming entangled in such investment scams, with consumers between 20 and 49 “over five times more likely” to lose money in them as compared to older groups.
Moreover, the FTC said that “consumers in their 20s and 30s lost more money to investment scams than any other form of fraud.”
The rise in crypto investments scams corresponds to a period of rapidly increasing public interest in retail investment in general, and in cryptocurrency in particular. The six months covered in the FTC’s report also saw a bull…