On Valentine’s Day, a time traditionally associated with showing affection, a new warning emerges for those searching for love online. Romance scams, especially those involving cryptocurrencies, are on the uptick, targeting single individuals. Security experts are raising the alarm about the increasing danger of these scams. With the online dating industry projected to grow significantly in the coming years, and an estimated 440 million users by 2027, the stage is set for fraudsters to exploit unsuspecting victims.
Cryptocurrency Deceptions Spike on Love’s Holiday
Research from the cybersecurity team at Binance, as well as other analytical entities, indicates a rise in romance scams, particularly those related to cryptocurrencies. The Norton Cyber Safety Insights report from 2023 highlights that one in four adults globally has been a victim of such fraud. The U.S. Federal Trade Commission received over 11,000 scam complaints in 2016, a number that has skyrocketed to an estimated 70,000 by 2022, indicating a significant financial toll on victims, with losses reaching $1.3 billion.
The Role of Crypto in Digital Love Frauds
Cryptocurrencies are increasingly utilized in fraudulent schemes, with about 34% of romance scam losses attributed to digital currency. Binance reports that these types of scams made up 2% of all fraud incidents in 2023, with victims losing an average of $14,000 each. Binance’s head of financial crime compliance, Tigran Gambaryan, compares the tactics of love scammers to financial fraudsters, emphasizing the exploitation of trust to achieve fraudulent ends.
Dating Apps as Gateways for Scammers
Apps like Tinder have become hotbeds for scammers to find potential targets. They establish trust with their victims before luring them into financial commitments on decentralized finance (DeFi) platforms. Security experts urge public vigilance when engaging with strangers online and caution against sharing sensitive financial details or sending money without in-person verification.