Nairobi, Kenya – February 7, 2024 – The Directorate of Criminal Investigations (DCI) has issued a strong warning to Kenyans about a surge in cryptocurrency scams targeting unsuspecting individuals. According to the DCI, they have received numerous reports of Kenyans losing significant sums of money to fraudsters operating on online cryptocurrency platforms.
“We are witnessing a worrying trend of Kenyans falling victim to cryptocurrency scams,” stated a DCI official in a press release. “These scammers lure their targets with promises of high returns on investment, often through unsolicited messages or social media advertisements.”
The DCI further revealed that many scams involve:
- Fake investment platforms: Fraudsters create bogus websites or apps mimicking legitimate platforms, enticing victims to deposit their hard-earned money with the promise of high returns.
- Pump-and-dump schemes: Scammers artificially inflate the price of a cryptocurrency through coordinated buying, then encourage victims to invest before dumping their own holdings, causing the price to crash and leaving victims with worthless tokens.
- Phishing attacks: Scammers send emails or text messages impersonating legitimate entities, tricking victims into revealing their personal information or login credentials, granting them access to their cryptocurrency wallets.
The DCI urges Kenyans to exercise extreme caution when dealing with any cryptocurrency investments. They advise individuals to:
- Verify the legitimacy of any platform: Before investing, research the platform thoroughly and confirm its registration with relevant authorities like the Capital Markets Authority (CMA) or the Communication Authority (CA).
- Be wary of unsolicited offers: Never invest based on unsolicited messages, emails, or social media advertisements.
- Do not share personal information or login credentials: Never share your passwords, seed phrases, or other sensitive information with anyone.
- Invest only what you can afford to lose: Cryptocurrency is a volatile market, and investments can come with significant risk.
- Report suspicious activity: If you encounter any suspicious activity or suspect a scam, report it immediately to the DCI or the relevant authorities.
The DCI’s warning highlights the growing threat of cryptocurrency scams not only in Kenya but globally. By staying informed and exercising caution, individuals can protect themselves from falling victim to these fraudulent schemes.
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