WhatsApp has removed more than 6.8 million accounts
reportedly linked to a global network of scams known as “pig butchering” or
“romance baiting.” These scams often begin with unsolicited messages, followed
by efforts to build trust with victims before defrauding them.
Scammers have also used AI tools like ChatGPT to generate
messages and later shifted conversations to Telegram to carry out the fraud.
Crypto Scams Surpass $60 Billion in Reported Losses
“WhatsApp’s removal of millions of scam-linked accounts is a
strong signal that tech platforms are finally reacting to the crisis that’s
arisen due to criminals combining investment and romance scams seriously,”
Jonathan Frost, Director of Global Advisory for EMEA at BioCatch, commented.
While pig butchering schemes often begin with romance-like
communication, they differ from traditional romance scams by leading victims
into fake investment platforms.
A recent study reviewed 236 major cryptocurrency scam cases.
The findings showed total losses exceeding $60 billion. Fraudulent trading
platforms were the most common, with 112 cases. Romance
scams followed with 46 incidents. Pig butchering schemes accounted for 39 cases.
Use of AI Tools in Scam Operations
One documented case involved the misuse of AI tools.
Scammers reportedly used OpenAI’s ChatGPT to write initial contact messages.
These messages included a link that led victims to a WhatsApp conversation.
“It’s clear that while the criminals are coordinated and
tech-enabled, our response is still fragmented and reactive. The Global
Anti-Scam Alliance estimates that over US$1 trillion globally was stolen by
scammers in 2024 alone,” Silvija Krupena, Director of the Financial
Intelligence Unit at RedCompass Labs said.
You may find it interesting at FinanceMagnates.com: Scammers
Pose as Banks in Instagram Ads to Trap Investors via WhatsApp, FSMA Warns.
Shifting Victims to Telegram and Showing Fake Profits
From there, victims were moved to Telegram, where they were
asked to complete small tasks, such as liking TikTok videos. The scammers then
displayed fake earnings to gain the victim’s trust. Victims were eventually
asked to deposit real money into a crypto account, resulting in financial loss.
“Banks need to move beyond traditional fraud detection and
adopt smarter behavioural analytics that spot subtle changes in customer
behaviour. Only a coordinated effort between banks, regulators, tech platforms,
and consumers can disrupt this industrial-scale crime wave before more people
suffer severe financial and emotional harm,” Frost added.
WhatsApp has removed more than 6.8 million accounts
reportedly linked to a global network of scams known as “pig butchering” or
“romance baiting.” These scams often begin with unsolicited messages, followed
by efforts to build trust with victims before defrauding them.
Scammers have also used AI tools like ChatGPT to generate
messages and later shifted conversations to Telegram to carry out the fraud.
Crypto Scams Surpass $60 Billion in Reported Losses
“WhatsApp’s removal of millions of scam-linked accounts is a
strong signal that tech platforms are finally reacting to the crisis that’s
arisen due to criminals combining investment and romance scams seriously,”
Jonathan Frost, Director of Global Advisory for EMEA at BioCatch, commented.
While pig butchering schemes often begin with romance-like
communication, they differ from traditional romance scams by leading victims
into fake investment platforms.
A recent study reviewed 236 major cryptocurrency scam cases.
The findings showed total losses exceeding $60 billion. Fraudulent trading
platforms were the most common, with 112 cases. Romance
scams followed with 46 incidents. Pig butchering schemes accounted for 39 cases.
Use of AI Tools in Scam Operations
One documented case involved the misuse of AI tools.
Scammers reportedly used OpenAI’s ChatGPT to write initial contact messages.
These messages included a link that led victims to a WhatsApp conversation.
“It’s clear that while the criminals are coordinated and
tech-enabled, our response is still fragmented and reactive. The Global
Anti-Scam Alliance estimates that over US$1 trillion globally was stolen by
scammers in 2024 alone,” Silvija Krupena, Director of the Financial
Intelligence Unit at RedCompass Labs said.
You may find it interesting at FinanceMagnates.com: Scammers
Pose as Banks in Instagram Ads to Trap Investors via WhatsApp, FSMA Warns.
Shifting Victims to Telegram and Showing Fake Profits
From there, victims were moved to Telegram, where they were
asked to complete small tasks, such as liking TikTok videos. The scammers then
displayed fake earnings to gain the victim’s trust. Victims were eventually
asked to deposit real money into a crypto account, resulting in financial loss.
“Banks need to move beyond traditional fraud detection and
adopt smarter behavioural analytics that spot subtle changes in customer
behaviour. Only a coordinated effort between banks, regulators, tech platforms,
and consumers can disrupt this industrial-scale crime wave before more people
suffer severe financial and emotional harm,” Frost added.
This post is originally published on FINANCEMAGNATES.
