In a surprising turn of events, an Indian crypto influencer was caught spreading fake crypto news via their X account.
Indian cryptocurrency influencer Pushpendra Singh, who has 435K followers, recently shared a screenshot of a BBC News story that stated, “North Korea says it will buy $10 billion worth of Bitcoin and Ethereum.” Get rid of all the bears. With 1.3K likes, 221 retweets, and 174 comments, this tweet has reached an impressive 52K people.
Indian Crypto Influencer Promotes Fake News
Interestingly, Pushpendra Singh’s X post was later proven to have no legitimacy.
When market participants tried searching about the news online, nothing came up, giving a hint that the news was fake.
Additionally, the language used in particular raised concerns for any given that most news outlets usually use a formal language.
New Fake News Comes as India Already Grapples With Rise in Crypto Scams
Crypto scams have increased dramatically in India, as dishonest schemes take advantage of the country’s growing interest in virtual currency. Numerous fraudulent schemes entice gullible investors who are unaware of the risks by promising large profits with minimal risk.
Authorities find it challenging to monitor or regulate such operations due to the decentralized nature of cryptocurrencies, and scammers frequently employ deceptive marketing strategies to give their schemes the appearance of legitimacy.
The prevalence of phony cryptocurrency exchanges, ponzi scams, and “rug pulls”—where creators drop projects after soliciting money—has increased. Such scams have flourished due to a lack of a clear legal framework and investor education, notwithstanding certain regulatory attempts.
Many Indians have thus experienced large financial losses, which has led to requests for more stringent regulations and awareness-raising initiatives.
Influencers Play Key Role in Promoting Fake Schemes
Influencers, who frequently promote false news for their own benefit, have been crucial in disseminating fake cryptocurrency news. Without adequate research, many influencers with substantial social media followings exaggerate specific cryptocurrencies or projects, urging followers to invest in potentially risky or fraudulent assets.
Investors have been misled into making ill-informed decisions by those who advertise “pump and dump” scams or fraudulent investment possibilities.
Since unwary followers may lose money as a result of the distribution of unreliable and misleading information, this expanding tendency raises questions regarding the lack of responsibility and regulation in the cryptocurrency industry.
India Witnesses Rise in Crypto Interest By Youth
The promise of large returns and the growing global use of digital assets have fueled a recent rise in interest in cryptocurrencies among Indian market participants. Bitcoin, Ethereum, and other altcoins are being investigated by institutional and ordinary investors as alternative investment possibilities.
Also Read: Coinbase Seeks Regulatory Approval as It Prepares for a Comeback in India’s Cryptocurrency Sector
The appeal is increased by the emergence of decentralized finance (DeFi) and blockchain technology. The increasing participation of startups, fintech firms, and big enterprises in the cryptocurrency market suggests a change in the Indian financial environment, despite the continued regulatory uncertainties.
Increased accessibility to cryptocurrency trading platforms and a growing number of tech-savvy people are also contributing factors to this interest.