Australians have continued getting deceived by investment and crypto-related scams, losing 242.5 million Australian dollars to scammers so far in 2022, according to latest data.
From January to July of this year, the majority of all funds lost to scams of all types were investment scams, which range from romance baiting scams to classic Ponzi schemes and cryptocurrency scams. The figure is already 36% higher than the figures across all of 2021, which revealed that Australians lost 178.2 million AUD to investment scams in the year.
It’s a threat that has prompted consumer advocates to push for banks to shoulder more responsibility for reimbursing scams to drive greater investment in stopping fraud.
According to reports from the Australian Broadcasting Corporation, advocacy groups are pushing for reforms requiring banks to check the recipient’s name matches the account name when money is transferred online.
“The key reform is to shift that liability from individual consumers to banks when it comes to scam losses,” Consumer Action Law Centre chief executive Gerard Brody said. However, banks want more customers to take up the optional PayID technology, which allows customers to see the name attached to a BSB and account number.
Australian authorities appeared to have stepped up scrutiny over the crypto space amid a rise in crypto scams, hacks, and the general market downturn. Australian Securities and Investments Commission commissioner Sean Hughes reportedly urged investors to understand that investing in crypto assets is a form of extreme risk-taking.
