Victims lose over $32.6 million to scammers using fake endorsements from celebs, politicians
The police have issued a public warning about the rise in investment scams, with at least 470 cases reported since January 2025, amounting to total losses of at least $32.6 million.
The trend involves scammers targeting individuals via social media platforms, dating apps, and messaging services.
In this variant of the scam, victims are first approached through popular platforms like Facebook, Instagram, Telegram, WhatsApp, and Coffee Meets Bagel.
Scammers often establish a rapport with their targets, building trust before introducing fraudulent "investment opportunities," particularly those related to cryptocurrencies.
Victims are persuaded to open accounts on cryptocurrency exchanges and deposit money to purchase digital currencies.
Once funds are in place, the scammers then manipulate victims into transferring their cryptocurrencies to fake trading platforms or to the scammers' own wallets.
Initially, some victims are shown small profits in an attempt to lure them into investing larger sums.
The scammers make it seem as though their investments are growing, further encouraging victims to increase their financial commitment.
Fraudulent websites and applications are also used to showcase fake profits, reinforcing the illusion of a profitable venture.
In other cases, victims come across investment advertisements on social media platforms that claim to have endorsements from well-known political figures or celebrities.
After clicking on these ads, victims are directed to messaging platforms like WhatsApp or Telegram, where they are encouraged to engage with scammers.
Some are also led to fake cryptocurrency trading platforms, where they are prompted to provide personal details such as contact information and credit card numbers to register for an account.
Scammers posing as brokers or investment company staff members then continue to build trust, offering investment plans and requesting more personal data.
In some instances, scammers invite victims into private chat groups on platforms like Telegram.
These groups are designed to create the illusion of a legitimate and profitable investment opportunity, often associating themselves with famous individuals or reputable companies.
Other group members may falsely share stories of large profits, further enticing new victims to invest.
As the scams progress, victims are asked for personal information to join these "investments," while fake investment websites continue to display illusory profits.
Unfortunately, many victims only realise they have been scammed when they are unable to withdraw their funds, despite transferring even larger sums to cover "fees" for the investment.
In some cases, the scammers vanish, becoming unreachable, leaving victims with no way to recover their money.
The police urge the public to remain vigilant and cautious when approached with unsolicited investment opportunities, especially those promoted via social media and messaging platforms.
Authorities recommend verifying the legitimacy of any investment opportunity before transferring money or sharing personal information.
As cryptocurrency-related scams continue to proliferate, individuals are advised to carefully research any trading platforms and investment opportunities before making any commitments.
Recognising red flags, such as too-good-to-be-true profits or unsolicited contact via social media, can help protect individuals from falling victim to these increasingly sophisticated scams.
Those who suspect they have been scammed are encouraged to report the incident to the authorities immediately to help prevent further victimisation and hold perpetrators accountable.
If you are in doubt, call the 24/7 ScamShield Helpline at 1799 to check. For more information on scams, members of the public can visit www.scamshield.gov.sg.
