Bitcoin scam: Victim faced with excuses, told to pay large fees when trying to withdraw funds

A victim in a cryptocurrency scam who invested $400,000 was faced with multiple excuses and told to pay large fees when attempting to withdraw the funds, Toronto police say.

In a news release issued Tuesday, police said officers were able to recover a “significant portion” of the funds, but are requesting any other potential victims to contact the investigator and are warning the public to be cautious when investing online.

Police said they were contacted by a complainant who said that he and his wife lost $400,000 in a crypto scam.

He was solicited online and asked to invest in an online platform called cryptos-seed.com, police said.

The victim was persuaded to send funds via a legitimate cryptocurrency exchange to a cryptocurrency wallet and the scammer was able to convince the complainant that the funds would be secure, police said.

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The victim was then given credentials for the scam website and watched his “investment” grow significantly, police added.

“When the complainant wanted to withdraw the funds, he was met with multiple excuses and was asked to invest more money or pay large fees in order to have the funds released,” the release said.

“Communication was done over the phone and the scammer presented as professional and knowledgeable in the field.”

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Police said the victim “essentially sent his money directly to the scammer,” who could be in another country.

The Toronto Police Cyber Unit and Financial Crimes Unit were able to recover a significant amount of Bitcoin and return it to the victim.

Officers said the investigation is ongoing and they’re trying to identify other involved parties. Police are asking anyone who believes they may be a victim to contact the investigator via email at 10767@tps.ca.

Police also advised the public to be cautious when being solicited online for investments and noted that the Ontario Securities Commission has a list of registered and approved exchanges on its website.