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The post Crypto Mule Scams: The New Age of Money Laundering and What You Can Do appeared first on Coinpedia Fintech News
Mule scams are an emerging trend of digital scams whereby people are basically tricked into cashing out for criminals in what is commonly referred to as crypto money laundry frauds.
Worms for these scams disguise themselves as highly publicized and seemingly legitimate jobs, business offers, positions at decentralized exchanges, and others.
Once one gets involved, the victims use the proceeds in the transfers of the stolen funds thus making it difficult for the police to trace where the cryptocurrencies emanated from.
How Are Crypto Money Mule Scams Done?
A crypto money mule is a person whose function is to transfer money or crypto money, believing it is a lawful deed and receiving it inappropriately.
Criminals Use Various Methods to Recruit Mules, Often Through:
1. Fake job offers: Employers use contestants for fake work-from-home offers which in a real sense are scams that compel the contestants to move their Bitcoins to other accounts.
2. Investment Opportunities: Some members feel that they are making an investment in a high-return crypto investment company through which they are expected to deposit funds.
3. Exchange facilitators: In some cases, people are offered incentives to execute trades on decentralized exchanges thus they are coming to the money unaware.
They are often not even aware they are engaging in a criminal process, however, they help criminals to wash money through cryptocurrency making it rather hard to track.
Significant General Signs to Shun Crypto Money Mules
Unsolicited job offers: Anyone who presents a job envelope devoid of an application by coming through a human resource channel that tends to the business of hiring for their company in relation to employing such an opportunity is a scam in the online context.
Requests to transfer crypto: This means transferring cryptocurrency to unknown wallets and the instruction is given as follows; people are advised to send details like the pin/bither.
Promises of easy money: Exchange fraudsters compel the victims into a belief that the returns being expected for the effort they are going to put in are too exorbitant.
Legal Consequences
At times the victims have no idea they are engaged in unlawful business and they can be legally charged for example for money laundering, fines or imprisonment. In some cases, premeditation is not a requirement in the execution of a crime. Many times, ignorance of the execution of a crime is no defense in law.
Conclusion
To avoid being involved in a contract-level crypto money mule scam, learn not to agree to contracts, research any crypto-related opportunities involving contracts or the ones you are interested in and never send your money to strangers. Such measures can help to avoid legal problems on your way and additional loss of crypto.
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