• California regulators have launched a tool to help people hesitant to invest in crypto projects over fears of falling victim to scams.
• The Crypto Scam Tracker helps users by allowing them to search for complaints about companies or websites they are considering investing in, searching for keywords that appear in a pitch put to them, and providing a glossary describing the various crypto scams.
• The scam tracker also reveals patterns of fraudsters‘ behavior and common scams such as „imposter“ websites.
California Launches Crypto Scam Tracker
California regulators have launched a revolutionary tool to prevent investors from falling victim to potential crypto scams. The California Department of Financial Protection and Innovation (DFPI) unveiled its Crypto Scam Tracker on Thursday.
What is the Crypto Scam Tracker?
The searchable website allows users to browse through the collection of complaints the agency has collected about potential crypto scams. The agency has reviewed the complaint lodged but has not verified them. It is similar to a database of confirmed reviews on Yelp.
How Does it Help?
The scam tracker may help users in three valuable respects:
• Search for complaints about a company or website they are considering investing in or doing business with;
• Search for keywords that appear in a pitch put to them;
• A glossary describing the vast array of scams perpetrated in the market.
Revealing Patterns Of Behavior
The tracker also reveals patterns of behavior common among fraudsters such as “imposter” websites with names similar to well-known crypto projects or brands, but with slight spelling changes.
Encouraging People To Report Scams
Elizabeth Smith, spokesperson for the DFPI, said: “We want [people]to report scams — it helps us keep all Californians safe.“ She hopes that this tool will be a resource for Californians before they make financial decisions and help them avoid falling prey to future scams.