ASIC shuts down over 7,000 Phishing and Investment Scam Websites in a Year
Since July 2023—when it partnered with the National Anti-Scam Centre on the scam fusion cell—ASIC has coordinated the removal of more than 5,530 fake investment platform scams, 1,065 phishing scam hyperlinks, and 615 cryptocurrency investment scams, it said.
The government agency said the websites sought to “swindle” consumers out of their personal information and included fake entities offering investment and cryptocurrency scams through sham trading platforms.
Some of the websites used celebrities and high-profile Australians, including actor Chris Hemsworth and Tesla and SpaceX CEO Elon Musk, to entice customers to invest their hard-earned cash, ASIC said.
Others said artificial intelligence (AI) technology and quantum computing would generate high returns for investors, ASIC said.
In one such instance, ASIC took down a website operating under the name of “Dexa Trade Markets” that claimed it was internationally regulated and had billions in trading volume and millions of investors, the agency said.
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The site was taken down within an hour of it being reported to ASIC, and investors were alerted.
At the time, the SFC said Quantum AI may have also used a news website to disseminate “false and misleading information about itself” and promote its cryptocurrency trading services to members of the public.
The Hong Kong Police Force also took steps to block access to the website of Quantum AI and take down all of its social media pages, the commission said.
Australians Losing ‘Billions’ to Investment Scams
According to ASIC, investment scams remain the leading type of scam affecting Australians, who are losing “billions of dollars” each year to such fraud.
In 2023, Australians lost approximately $1.3 billion to investment scams, the agency said. However, that’s down from $1.5 billion in 2022, it noted.
In a statement, ASIC Deputy Chair Sarah Court said scammers are increasingly adopting sophisticated techniques to steal information and money from hard-working Australians.
The scams are also rapidly evolving and feature more innovative technology thanks to constant developments, she said.
“Every day, an average of 20 investment scam websites are taken down,” Court said. “The quick removal of malicious websites is an important step to stop criminal scammers from causing further harm to Australians.
“Scammers will continue to adapt and find new ways to lure consumers, and ASIC remains proactive in detecting and disrupting investment scams.”
ASIC is reminding all consumers to remain vigilant to social media hyperlinks that promote online trading and cryptocurrency investments and to refrain from sharing their personal information with potential fraudsters online.
The agency recommends consumers first establish the legitimacy of investment advice before acting on it, including checking if celebrities have warned they are being falsely linked to various schemes.
Australians can also check ASIC’s website to confirm if the person or entity offering the investment is licensed or authorized to do so.
