Axios
Over $2 million in cryptocurrency was sent to Elon Musk impersonators in the last 6 months
Reproduced from FTC; Chart: Axios VisualsThe cryptocurrency hype is real. New numbers show how scammers are benefiting.Driving the news: Reported losses tied to crypto scams spiked 1,000% in the past year, the Federal Trade Commission said Monday. That includes over $2 million that people have sent to Elon Musk impersonators. (Yes, really.)Stay on top of the latest market trends and economic insights with Axios Markets. Subscribe for freeWhy it matters: Crypto trading has exploded alongside an unprecedented spike in retail investing. Online communities drive the activity, but they’re also where investors are lured into scams.The pandemic has been a goldmine for scammers, generally.By the numbers: Since October 2020, about 7,000 people have reported total losses of more than $80 million on crypto-related scams.The median loss was $1,900.Among the lines of attack are “Giveaways” that claim to be sponsored by celebs — like the Elon Musk ruse — that promise to multiply the crypto that a victim sends.Online chat groups — and online dating— are where scammers appear friendly and share “tips” or ask people to invest in schemes.Scammers also pose as exchanges like Coinbase, or as government officials from agencies like the Social Security Administration.What’s next: Government agencies are trying to understand the full scope of illicit activity in the largely unregulated cryptocurrency markets.Binance, the world’s largest crypto exchange, is being probed by the Justice Department and Internal Revenue Service, Bloomberg reported.The bottom line: Scammers are cashing in on the “cryptocurrency FOMO” that’s gripped swaths of the country.Like this article? Get more from Axios and subscribe to Axios Markets for free.