A resident of Parksville Qualicum Beach has reportedly lost approximately $160,000 to a multi-year cryptocurrency scam.
The resident told Oceanside RCMP, on March 27, that they had been investing in cryptocurrency through various companies which have gone through many name changes, according to Sgt. Shane Worth.
They initially started with a $2,000 investment and was making the transfers through a Bitcoin machine — transfers through these machines are not traceable. The companies appear to be based outside of Canada, police noted.
The resident engaged in the cryptocurrency investments because their traditional bank did not, at the time, have any cryptocurrency investment options, Worth added.
“Over the years, the resident estimates they have sent nearly $160,000 through Bitcoin which they believed was being legitimately invested in cryptocurrency,” Worth told the PQB News. “Unfortunately, when the resident tried to retrieve their money, they realized the entire cryptocurrency investment was a fraud and they are unable to recoup any of their money.”
Investment frauds like this are complex and it is “next to impossible” to trace where the money has gone, according to RCMP.
“Residents are urged to use extreme caution when investing, particularly over the internet or as a result of unsolicited phone calls or emails offering extraordinary investment opportunities and returns,” Worth added. “Always use a trusted and reputable financial advisor, company or broker when investing.”