The investment market is full of scams that not only make investors suffer, but even cause trouble to legitimate companies. One Malaysian investor told BrokersView about an investment scam she experienced on WhatsApp, where scammers posed as the US crypto exchange Gemini.
According to the investor, she was attracted to an investment ad on Facebook and contacted the person in charge via WhatsApp. From the chat transcripts provided by the user, the person in charge claimed to be a staff of the cryptocurrency exchange Gemini and boasted that her company had helped many investors solve their financial problems by investing a small amount of principal to make significant profits.
Specifically, the scammers "price out" the investment amount and expected profits on advertisements with Gemini’s logo - invest RM50 to earn RM80, invest RM350 to earn RM19,880, invest RM1,050 to earn RM32,180. And the investment cycle is only three hours! In other words, the profit margin of three hours is a staggering 3,000%!
If such margins were possible, it would truly help a lot of people with their finances, but anyone who knows the market may realize that traders who make such promises are purely talking nonsense.
After the victim invested RM350, the scammer lied and said she opened an account with Gemini and made about RM21,000. However, the victim was not involved in the "trading" process, while the scammer claimed to have taken care of all the requirements and steps for the victim.
The victim was so satisfied with the profit that she paid a 10% broker fee of RM2104.29 as requested by the scammer to withdraw.
However, the scammer did not help her make any money, did not intend to allow her to withdraw any money, and not even open any accounts for her. Therefore, though the victim paid the "withdrawal fee" as requested, it was impossible to withdraw any penny.
BrokersView reminds you
The US cryptocurrency exchange Gemini does not offer such an "investment opportunity" claimed by the scammer. Criminals are simply taking advantage of the reputation of a well-known exchange to attract more victims.
The crypto market is recognized by market participants and regulators as a high-risk market, and the idea that you can make a 3,000% profit in 3 hours without doing anything is just a fantasy.
If such a great investment opportunity exists, why would the scammers use ads to attract other people to invest, and earn a commission worth only 10% of the profit, instead of investing their own money to grab all the profit?
Therefore, before investing, set up a correct perspective of financial management and carefully check the regulatory status of the financial company. If you are only concerned about pursuing unrealistically high profits and ignore the risks and thresholds that exist in the market, you will not only fail to make money but also give your savings to crooks for nothing.