Bitcoin (BTC) Ponzi Schemes Take Massive Hit During COVID-19 Pandemic, but You Have to Watch Out for – U.Today

Alex Dovbnya

The operators of cryptocurrency Ponzi schemes are not immune to falling prices, but phishing and blackmailing scams are on the rise

According to a new report unveiled by blockchain sleuth Chainalysis, the revenues of cryptocurrency Ponzi schemes have cratered 33 percent since March 8(from $4.2 to roughly $2.9 mln).

However, phishing, blackmailing, and email spamming scams are picking up the slack since the coronavirus pandemic represents a goldmine of new stories for fooling gullible victims.

At first blush, it might seem that those who typically fall for crypto investment shams adopted a more frugal attitude towards their money, with 17 mln people filing for unemployment benefits only in the U.S.

However, Chainalysis explains that the 33 percent drop in revenues has a more prosaic reason -- the crypto market crash that happened in the middle of March.

The number of transfers to some well-known Ponzi schemes actually saw a significant increase last week, but scammers are profiting less from every transaction due to lower prices.

Ponzi schemes and investment responsible for 95 percent of all losses, but blackmailing and phishing scams are actively chipping away at their share during the COVID-19 pandemic.

Fraudsters are impersonating the WHO, the NHS, and other health organizationsto collect coronavirus donations with the help of fake e-mails.They might also threaten to infect you or your family with the novel virus.

As reported by U.Today, Interpol warned about cybercriminals attacking hospitals with Bitcoin (BTC) ransomware.

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Bitcoin (BTC) Ponzi Schemes Take Massive Hit During COVID-19 Pandemic, but You Have to Watch Out for - U.Today