KUALA LUMPUR: Malaysians have fallen victim to cryptocurrency investment scams, losing almost RM400 million since 2019.
Bukit Aman Commercial Crimes Investigation Department director Datuk Seri Ramli Mohamed Yoosuf said annual losses had consistently risen, reaching RM363,654,517.00 by the end of last year.
"In 2019, 605 reported incidents saw losses amounting to RM130,967,362.40. There were 1,073 cases with losses totalling RM41,600,001.26 in 2020.
"In 2021, we recorded 1,471 cases with losses amounting to RM53,662,103.00.
"In 2022, there were 1,312 cases with losses amounting to RM83,837,360.00.
"Last year, there were 946 reported cases, resulting in losses totalling RM107,196,132.00," Ramli said in an exclusive interview with New Straits Times.
As crypto-related investment scams continued to surge, Ramli said it was critical for people to be equipped with financial literacy to protect them from being victims.
He said it was very important for the public to be wary of agents who offered cryptocurrency schemes through social media or even face-to-face marketing.
He said people who lacked knowledge or skills on cryptocurrency could not rely totally on all agents offering the schemes.
He said it was important to verify an agent's certification and authorisation in offering cryptocurrency schemes.
He cautioned against entrusting financial decisions to people whom they met randomly, including those they might have met at coffee shops.
"If you don't have the knowledge and skills in that field, don't leave it to agents to do it for you. Unless, of course, if these agents are certified and authorised.
"If you meet people at the coffee shop and they promise you all these high returns in cryptocurrency, more often than not, you might be lured into a scam."
He said the cryptocurrency sector had become a breeding ground for syndicated scams.
He advised potential investors to equip themselves with adequate knowledge before venturing into the volatile world of cryptocurrencies.
Ramli emphasised the rise in the number of scams through informal channels, including social media platforms.
He said unscrupulous individuals might approach potential victims with enticing investment opportunities, claiming to be certified agents.
To combat this growing menace, Ramli urged authorities to step up efforts to impart financial literacy to the people, with a particular focus on awareness about cryptocurrency.
He said an informed public would be better equipped to differentiate between a legitimate investment opportunity and potential scams, thus reducing the risk of them becoming victims to fraudulent schemes.