NYPD: Bitcoin thieves posing as government officials have stolen over $2M

[Baofeng]

NYPD: Bitcoin thieves posing as government officials have stolen over $2M

New York’s Police Department (NYPD) is alerting the public about phone scammers posing as Social Security Administration officials and requesting payment in Bitcoin, $BTC▲2.67% prepaid gift cards, and bank wire transfers.

NYPD noted the scammers have already thieved millions of dollars by exploiting the trusted reputation of government agencies.

Such scams are on the rise, NYPD said. So far this year, the NYPD has received more than 200 complaints with losses totalling more than $2 million. In 2018, the NYPD received only three similar complaints.

https://thenextweb.com/hardfork/2019/05/02/nypd-bitcoin-thieves-posing-as-government-officials-have-stolen-over-2m/

Be careful out there, scammers is using another strategy, although this is not new, but still it looks like very effective as it was reported that they have stolen more than $2 million already. You just don't know, you might get a phone call one of this days so don't believed in everything you hear and just your common sense.

[dothebeats]

The best thing to do in order to prevent such is to head over to the department that they said they belong to and confirm whether they have some warrant for you. If these guys don't want to cooperate and head over to their department then something is definitely wrong, so report them immediately. This has been done for a long time and it's not improbable for them to use such a tactic again. Be vigilant and be keen on these strategies in order to not fall victim to their traps. Bitcoiners are easy targets due to the inexactness of the laws and regulations that the governments impose so it's easy for unknowing people to fall victim on this scheme.

[Beerwizzard]

ofc thanks for the warning, it is always good to remember about cybersecurity. But there is a point that thieves are stealing cryptocurrencies not because it is crypto but because it is money. Sounds pretty stupid but people are stealing money from other people for already a big amount of time. And it doesn't mean that if those $2M were stolen in crypto then they couldn't have been stolen in fiat.

[kryptqnick]

Different sorts of phone scams are pretty popular in my country, but I've never heard of any that involve cryptocurrencies. I find it hard to understand why people would believe they need to transfer their BTC anywhere to solve social security issues. It's easier to believe these things when it comes to fiat, but why would official charge anything not in the official currency? $2M is a significant amount of money. I am sorry people lost that much. I hope it will be possible to track these scammers down. After all, phone calls are traceable at least to a certain extent, right?
Thanks for sharing important info, op.

[Bitinity]

Why the title of the article seems to be made to make bitcoin looks worst while the thieve is not asking payment via bitcoin only as the thieves also ask payment via wire bank transfer and prepaid gift cards? I think the writer is someone who do not like bitcoin and want to make people stay away from bitcoin by creating the title looks like that the thieves are related to bitcoin.

[Harlot]

This isn't new, the mode of payment might be new but the scam for impersonating that you owe the government something has been running for years. Just go at Youtube and search for "IRS pranks" or "Indian SSA pranks"  you will see a lot of this videos on how the scam goes down. Usually they ask for Gift cards ranging from Amazon to Apple gift cards and this is their way for you to "repay" your debt in the government. Now they found a more convenient way to scam people a way that people they are calling might already have which are cryptocurrencies. Scams like this won't stop not until there are no people being victimized by it.

[sheenshane]

Maybe the major reason why I was scammed is to enter something with my emotions and greed.

I still remember the days where I could trust anyone and be expecting that everyone is the same as me. I know I was so much innocent and that was the time I was victimized. It wasn't a bitcoin relate stuff where I was scammed by another person but that experience made me become aware of what I do and how to deal with people.
Well, thanks to OP this thread is very informative and warned us on this kind shitty activities.

[morvillz7z]

Why the title of the article seems to be made to make bitcoin looks worst while the thieve is not asking payment via bitcoin only as the thieves also ask payment via wire bank transfer and prepaid gift cards?

You are right on the money with this one. It's nothing more than a clickbait headline, making unsubstantiated assertions. 
How were thieves called back then, before bitcoin...fiat thieves? Lol
By the way, I read a similar article on CCN today about the exact same phone call scams asking for payment in bitcoin with slightly different outlook:

NYPD Enlists Bitcoin ATMs to Help Strangle Phone Scams

NYPD & Bitcoin Startups Crack Down on Phone Scams

[Haunebu]

This isn't new, the mode of payment might be new but the scam for impersonating that you owe the government something has been running for years. Just go at Youtube and search for "IRS pranks" or "Indian SSA pranks"  you will see a lot of this videos on how the scam goes down. Usually they ask for Gift cards ranging from Amazon to Apple gift cards and this is their way for you to "repay" your debt in the government. Now they found a more convenient way to scam people a way that people they are calling might already have which are cryptocurrencies. Scams like this won't stop not until there are no people being victimized by it.

Very true. I get emails and messages on my mobile now and then informing me that I won a million dollar lottery or got a job which I never interviewed for etc and they ask me to deposit funds which gives away the scam basically.

Some people actually fall for this shit. No wonder they ended up stealing millions. Some people are way too gullible.

[jhongzjhong]

Some people actually fall for this shit. No wonder they ended up stealing millions. Some people are way too gullible.

Weak people are the main target of these people. Well, phone scams were around even though Bitcoin was not yet born. We will not be able to stop these stuff unless we will be aware of their modus. If we really want them to stop then we have to make sure to work out helping people to be aware of their strategies. We have to make sure to take note that there will never be a criminal if no one will let themselves to become the victim. We have to think about the advance.

[Genemind]

Thanks for the warning but I guess, they will focus their attention on those who aren't well aware of Bitcoin scams.
It's the right time for us to be more keen and observant especially if it involves money. Cyber crime is roaming around in different forms so we must be wiser than them.

[creeps]

Scammers are not a new thing but asking for a payment thru gift cards and using the image of the officials are quiet new to me. Well, we must alsway take care of our wallet and never to transact big amount to any strangers without having any guarantee like escrow services. Scammers are smart, don’t underestimate them and always have the most secured wallet for your own protection.

[Ailmand]

Securing our funds and wallets is the best weapon that we could have against scammers. They are everywhere so we better look for ways to get rid of them. Transacting with suspicious individuals or sites would be a risk so we should think before we click. We must not let them find their own ways to scam and steal our earnings.

[pixie85]

You really have to be an idiot to believe the police or any other government agency will ask you to buy them a gift card or pay in bitcoin. I still can't believe that people were being scammed by fake Indian IRS that was telling them to go to a nearby store buy a gift card and tell them the code.

A child could fall for this but a grown up who is working and raising children? What are you going to teach them if you are as sharp as a spoon?

[pey]

That's extremely important case for crypto hodlers because even most of the time getting cash back is impossible in such cases. For crypto it can be like a game, once you sent your all wealth is gone.

[BitHodler]

You really have to be an idiot to believe the police or any other government agency will ask you to buy them a gift card or pay in bitcoin. I still can't believe that people were being scammed by fake Indian IRS that was telling them to go to a nearby store buy a gift card and tell them the code.

I think that you severely overestimate people's ability to recognize scam attempts. There are still people who receive phishing mails and send their bank card with the pin included because their bank has told them to do so.

Once their bank accounts are wiped clean and there is not even a single penny left, people finally realize that they have been scammed. For us it's hard to imagine that people fall for this, but it happens a lot.

What also happens a lot is that mostly Indian scammers pretending to be Microsoft or Apple randomly call people telling them that they urgently need access to their desktop or laptop in order to patch critical bugs.

[Kemarit]

Different sorts of phone scams are pretty popular in my country, but I've never heard of any that involve cryptocurrencies. I find it hard to understand why people would believe they need to transfer their BTC anywhere to solve social security issues. It's easier to believe these things when it comes to fiat, but why would official charge anything not in the official currency? $2M is a significant amount of money. I am sorry people lost that much. I hope it will be possible to track these scammers down. After all, phone calls are traceable at least to a certain extent, right?
Thanks for sharing important info, op.

Yes, a lot of phone/sms scams have been popular in my country as well. They will send you sms saying that you won this xxx,xxx amount but before you can claim it, you have to deposit something. And many still fall for that kind of trap and those scammers take millions of dollars to unsuspecting victim up to this day.

I don't know if they can track them though, usually they will just buy pre-paid sim cards and once they've scammed people, they disposed the sim card and buy a new one to continue. So everyone needs to be very careful specially in cryptosphere.

[CryptoBry]

https://thenextweb.com/hardfork/2019/05/02/nypd-bitcoin-thieves-posing-as-government-officials-have-stolen-over-2m/

Be careful out there, scammers is using another strategy, although this is not new, but still it looks like very effective as it was reported that they have stolen more than $2 million already. You just don't know, you might get a phone call one of this days so don't believed in everything you hear and just your common sense.

The only new in this scam scheme is the use of Bitcoin as the way to pay or transfer funds. I have already heard many similar schemes where scammers are calling people in order for them to trick to do something. There is even big possibility that the operation is connected with those done in an African country. We should always be careful especially with people who just called us out of nowhere and pretending to be connected with the government.

[pooya87]

and requesting payment in Bitcoin, prepaid gift cards

i'm sorry but anybody who fell for this is a complete idiot! nowhere in the whole world the "government officials" ask for payment in prepaid gift cards, and on a less obvious note they don't accept bitcoin either but mostly the gift card thing!
what is next? they are going to ask for unmarked bills in a bag where they leave in a secluded place (a drop point)

[TravelMug]

and requesting payment in Bitcoin, prepaid gift cards

i'm sorry but anybody who fell for this is a complete idiot! nowhere in the whole world the "government officials" ask for payment in prepaid gift cards, and on a less obvious note they don't accept bitcoin either but mostly the gift card thing!
what is next? they are going to ask for unmarked bills in a bag where they leave in a secluded place (a drop point)

Exactly, they are idiots in thinking that government officials will ask payment for a f**ing gift card? I'm lost at words for those who have been scammed in this way.

Oh well, that's why there are a lot of scammers because there are people who still fall for this kind of simply trick.

[traderethereum]

The scammers will be on everywhere, on the internet or real life.
We need to be careful about that, and we must protect what we have and always make sure that it's not fake information that we receive.
I almost get scam by phone in a long time ago, and that person asks me to send money to one bank account, but I don't send the money, and I talk to him pretending I understand his instruction.
I think this is the old model of the scam that always happen in many places and as long as we can be careful about receiving a suspicious unknown phone number, we will be fine.

[Slow death]

You really have to be an idiot to believe the police or any other government agency will ask you to buy them a gift card or pay in bitcoin?

I also thought the same thing, how could anyone believe in something like that? Does this mean that government officials would be calling all day long for thousands of people and would still ask people to make payments without being on-site? and with bitcoin something that is not yet legalized? how can people not take some time and reflect on it?


this article spoke in general, but whoever wrote the article rushed to use bitcoin as the main target