Nigeria’s anti-corruption agency has once again cracked down a crypto scam, arresting more than 800. According to reports on December 17th, in Lagos, Nigeria’s anti-corruption agency apprehended 792 individuals involved in a raid on a suspected cryptocurrency romance scam hub.
The arrest comes amid a rise in the global trend of romance scams which has grappled the crypto world as well.
Nigeria Nabs 792 Suspects
According to Reuters, in a raid on a building thought to be a gathering place for scammers who enticed victims with promises of romance before pressuring them to give up money for fictitious cryptocurrency investments, Nigeria’s anti-graft agency reported that it had detained 792 suspects.
According to Wilson Uwujaren, a spokesman for the Economic and Financial Crimes Commission, the suspects, who included 40 Filipino and 148 Chinese nationals, were taken into custody on December 10 at the seven-story Big Leaf Building in Lagos, the commercial hub of Nigeria.
A call center focusing on victims from the America and Europe was housed in the opulent building.
Nigeria Witnesses Rise in Crypto Scams
Nigeria has established itself as a nation that is on-board with cryptocurrencies. The country has see a rise in crypto adoption and friendliness over the years. However, with this rise in adoption, the nation’s vulnerability to crypto scams has also seen a rise.
Just previously, three Nigerian nationals had been charged by the U.S. Securities and Exchange Commission (SEC) with committing a fraudulent scheme that led to the theft of more than $2.9 million from at least 28 investors.
The defendants allegedly tricked victims into falling for their complex online scam involving digital assets by posing as trustworthy securities brokers and investment advisors.
Crypto Scams on Rise; US SEC Issues Warning
Romance scams have been a growing concern for all financial markets across the globe. Even the US SEC was forced to warn investors to exercise caution due to the surge in crypto-love scams.
Federal officials have warned that cryptocurrency scams connected to fake relationships created through social media, dating apps, and networking sites are more dangerous for investors, according to CNBC.
These kinds of scams occur when scammers use dating apps, social media platforms, professional networking sites, or encrypted messaging apps to pose as a potential love interest, an old friend, an investor, or another acquaintance.
Fraudsters gain their victims’ trust over time. Before deceiving victims with fraudulent investments, they eventually bring up the subject of cryptocurrency investing.