A newly formed unit of the Ohio Attorney General called Electronic Fraud Investigations was successful in its first operation: $130,000 of Bitcoin was stolen. The case is related to a woman of 75 years who lived in Worthington, Ohio, who was scammed by criminals and who lost about $280,000.
In total, the investigation conducted by Ohio's Bureau of Criminal Investigation (BCI) helped to trace and recover almost fifty percent of the stolen money, which served as an indication of rather a successful fight against digital fraud.
The Ohio resident was scammed by what appeared to be a pop-up message on the computer and thought her bank account was under threat. Surrendering to force, the victim was ordered to transfer her savings to a Bitcoin ATM.
This method has lately been used mostly in cryptocurrency and other kinds of scams where users are hurried into making decisions without conducting appropriate verifications.
The Worthington Police Department immediately called for backup from Ohio's newly formed Electronic Fraud Investigations once it was apparent that cryptocurrency was involved.
By using the tools provided in the blockchain analysis, the unit was able to follow the flow of the stolen money. The BCI managed to act proactively in several grip instances, thus freezing 130,000 USD worth of cryptocurrency so that they could not be transferred further or washed.
Cryptocurrency scams are emerging as a rising threat across Ohio and the United States as Bitcoin ATMs become popular and have been used for scams. According to Attorney General Dave Yost, such scams are increasingly common and more often target seniors and other sensitive populations.
"Criminals are hitting cryptocurrency scams hard, which can have a lasting impact on your bank account and your credit history," Yost said in a press release. His office has been proactive in raising awareness about the growing threat, urging residents to remain cautious when dealing with unsolicited requests to transfer funds or invest in digital currencies.
Chief of Police Eric Grile and Yost praised the BCI's swift response to cryptocurrency scams, highlighting the difficulty in recovering stolen funds due to the anonymous and decentralized nature of cryptocurrencies. They noted that quick action allowed some money back for a resident, but acknowledged the challenges in achieving full recoveries.
Cryptocurrency scams have been on the rise in Ohio, and the Ohio Attorney General's Office has prepared guidelines that can help residents avoid falling victim to a scam; these include the pop-up, phishing emails or an unsolicited message that wants you to make some immediate monetary choices, do not go through normal authentication procedures.
Attorney General Yost reiterated the necessity of caution. He encouraged Ohioans to take a moment and learn more, especially about crypto. They are advised to report any suspicious act to the police or the BCI, preferably, so that the stolen assets may be recovered before they are dissolved.
Bitcoin ATM scams have raised regulatory concerns in the U.S. and other countries, leading to over 600 global ATM removals in Q3 2024. The Federal Trade Commission (FTC) reports a rise in scams since 2020, disproportionately affecting seniors, with the US leading the crackdown.