Crypto Scammers Exploit Trade War Fears, Targeting Canadians

Crypto scammers are exploiting trade war fears to lure victims, according to securities regulators in the Canadian provinces of Alberta and New Brunswick. The scam, known as CanCap, uses fake news articles and the likeness of government figures to capitalize on the uncertainty caused by trade tensions. The Alberta Securities Commission issued an alert on March 7, revealing that the scam had faked an endorsement from then-Prime Minister Justin Trudeau through a fabricated news article from Canada’s national public broadcaster. The fake article claimed that the Prime Minister was endorsing an investment program involving digital currencies in response to US tariffs.

The Financial and Consumer Services Commission of New Brunswick also warned on March 5 that CanCap had used a fake news article claiming that New Brunswick Premier Susan Holt endorsed the platform. The article, designed to resemble a Telegraph-Journal web article, included a fake transcript of an interview with Holt and doctored photos of her promoting CanCap. The commission noted that the uncertainty caused by US tariffs has increased anxiety among New Brunswickers, making them more vulnerable to scams.

Both the Alberta and New Brunswick watchdogs highlighted that scammers are increasingly leveraging current events to target potential victims’ fears. They use artificial intelligence to fake endorsements and generate content, giving the scheme a sense of legitimacy. The scammers can quickly change the name and appearance of the scheme, using various domains to avoid detection. They have already used names like “CanCentra” and “Immediate Flectinium” and have linked the scam to at least six other websites.

Canadian authorities have emphasized the importance of vigilance and caution when it comes to cryptocurrency investments. They advise individuals to thoroughly research any investment opportunity before committing their funds and to be wary of any promises that seem too good to be true. Additionally, they recommend reporting any suspected scams to the appropriate authorities to help protect others from falling victim to similar schemes. This warning comes at a time when cryptocurrency scams are on the rise, with scammers becoming increasingly sophisticated in their tactics. The use of AI-driven scams and other advanced technologies has made it easier for scammers to target and deceive victims, making it more important than ever for individuals to stay informed and vigilant. By taking the necessary precautions and staying alert to the signs of a scam, individuals can protect themselves and their investments from falling prey to these fraudulent schemes.