Bit2Me, the leading digital assets company in the Spanish-speaking market and registered with the Bank of Spain, has just released a study on the money saved for its customers from potential fraud during 2023 and so far in 2024, with 1.5 million euros and 1.6 million euros respectively.
Bit2Me’s Compliance department has also recently obtained ISO 37001 certification, focused on anti-corruption and business ethics; ISO 37301, which provides a framework for the compliance management system; and UNE 19601, which establishes best practices in criminal compliance management, thus leading the crypto-assets sector in this regard globally and becoming the first company worldwide to obtain three essential Compliance certifications.
Bit2Me has published these data after analyzing all types of fraud that their customers might face through various channels and the measures taken by the company.
In this regard, Bit2Me’s policy is to act against fraud on various fronts with specialized tools, early warnings, processes, and action protocols to prevent customers from falling victim to fraud. Additionally, there are measures to assist potential clients who have already been scammed or are about to be when unusual or suspicious activities are detected in their Bit2Me accounts.
For João Augusto Teixeira, Chief Compliance Officer of Bit2Me, “These actions against fraud are not only positive for the people we prevent from losing money but also for our own platform and the crypto ecosystem, helping to eliminate the avenues through which these professional scammers steal from people. It is further proof of our commitment to regulatory compliance and to being a secure exchange with all the guarantees for our users.”
Pedro Filipe Chicau, Fraud Lead at Bit2Me, has pointed out that one of the most common scams is the “romantic scam.” “The scammer tries to build a trust relationship with the victim through social networks. Subsequently, after emotionally connecting with the victims, the manipulation begins to get the victim to start sending funds in cryptocurrencies,” he explained.
An example provided by the company illustrates the effectiveness of their preventive measures. Pedro Filipe recounts that, upon detecting irregular activity in an account, they contacted the client and discovered that he had been a victim of an elaborate scam initiated through social networks. Thanks to Bit2Me’s timely intervention, a loss of over 70,000 euros was prevented.
Regarding the profile of potential victims, the company notes that this type of fraud affects people of all ages, though the majority tend to be older individuals. This population is particularly vulnerable due to their limited knowledge of technology and the cryptocurrency market. “The scammers target this group of people, build a trust relationship over time, and eventually manage to steal their money. These relationships typically develop over several months,” concluded Pedro Filipe Chicau.
Five Tips to Avoid Falling Victim to Fraud
- Verify the Legitimacy of Platforms: Ensure you use reputable exchanges and digital wallets. Research the platform, read reviews, and check its security history before depositing funds.
- Never Share Your Private Keys: Keep your private keys and passwords secure and never share them with anyone. Private keys are the only way to access your cryptocurrencies, and if someone else gets them, they can steal your funds.
- Be Wary of Promises of High Returns: Be skeptical of any offer that promises extraordinarily high returns with little or no risk. Investment scams often use these tactics to lure victims.
- Educate Yourself and Stay Updated: Stay informed about the latest trends and fraud tactics in the cryptocurrency world. Continuously educating yourself will help you recognize warning signs and make informed decisions.
- Use Two-Factor Authentication (2FA): Enable two-factor authentication on all your cryptocurrency-related accounts. This adds an extra layer of security, making it harder for scammers to access your accounts even if they obtain your password.
