A major bank has issued a warning about crypto investment scams, with victims standing to lose more than £10,000 on average and young adults often being particularly at risk. Lloyds Bank has recorded a 23% rise in reports of cryptocurrency investment scams by customers in its banking group between January and September 2023, compared with the equivalent period last year.
Would-be crypto investors typically make an average of three payments before they realise they have been scammed, taking around 100 days from the date of the first transaction before they report it to their bank, Lloyds added. Fraudsters often pose as investment managers, promising that any payments made by the victim will be invested on their behalf, often with the promise of huge returns.