Metro Atlanta police warning residents about cryptocurrency scams

JOHNS CREEK, Ga. - Police in metro Atlanta are issuing an urgent warning after receiving a ton of reports about cryptocurrency scams targeting residents.

Investigators with the Johns Creek Police Department say they have been getting lots of calls from people who say they were swindled in these cryptocurrency schemes.

As the federal authorities work on getting a handle on regulating cryptocurrency, local investigators are on alert.

"It's not like regular finance," Johns Creek Lt. Debbie Coble said.

Officials say the scams have been costing people a lot of money who were just trying to make what they thought was a good investment. 

"There is the pump-and-dump scheme where instigators are inflating the price and get everybody buying," Coble said. "As soon as they’re in, boom. It's done and they're gone."

The FBI reports that seniors are frequently the targets of these scams. In 2022, crypto crimes against the elderly surged 78%. That's roughly $1 billion up in smoke.

Peter Tran is a cybersecurity analyst and says crypto crooks go into overdrive this time of the year.

"Preying on human emotion," Tran said. "Social engineering is a big red flag during the holiday season, so be very careful about social media, email, text, malicious links."

With the downfall of FTX and Binance, the world's largest crypto exchange - setting a federal money laundering case for $4 billion, Tran says you have every reason to be skeptical.

Peter Tran

"If it's too good to be true it probably is. Look a little bit deeper. Do a little bit of research on it," Tran said.

Johns Creek police say if you're going to put your money into cryptocurrency, take it a step at a time.

"Invest slowly and never ever invest in crypto anything you cannot afford to lose," Coble said.

Tran said on top of doing your homework, the best practice against fraud is diversifying your portfolio.