The U.S. Federal Trade Commission (FTC) has warned consumers about a surge in social media investment scams, especially in cryptocurrency. These scams involve fraudulent messages claiming guaranteed high returns with little or no risk. The FTC advises ignoring such messages and reminds consumers that all investments carry inherent risks.

FTC Issues Warning on Social Media Investment Scams

The Federal Trade Commission (FTC) published a consumer alert on Friday. The alert, written by Andrew Rayo, FTC’s consumer education specialist, explains that “unexpected messages on social media about investing are almost always scams.”

Scammers are increasingly targeting social media users on platforms such as Facebook, Linkedin, and Whatsapp with fraudulent investment opportunities, particularly in cryptocurrency, the FTC explained, adding:

If you reply, the scammer will say they’ve made lots of money investing in Bitcoin or another cryptocurrency. And they can get you a special opportunity that guarantees big returns with little or no risk. But these are all lies designed to convince you and get your money.

If you engage, they will direct you to a fake investment site or app where your “account” appears to grow, the FTC noted, warning that these sites are fraudulent, and once the scammer has extracted as much money as possible, they will disappear, leaving you with nothing.

In conclusion, the FTC advised that if you receive an unexpected message on social media about an investment opportunity, do not reply; it’s likely a scam. The FTC emphasized that all investments carry risks, and there are no guaranteed returns, so be wary of anyone claiming you can make substantial money with little or no risk.

Have you encountered suspicious investment offers on social media? Let us know in the comments section below.

Source: news.bitcoin.com.