Canadians using dating apps and websites need to be cautious as crypto scammers are targeting them. The Canadian Anti-Fraud Centre (CAFC) has identified two types of scams that are particularly prevalent – romance scams and investment scams. To combat these sophisticated scams, the CAFC and the Canadian Investment Regulatory Organization (CIRO) have issued a joint warning, specifically highlighting the risks associated with extended online communication.
Scammers typically initiate contact with potential victims on dating platforms and then try to move the conversation to a private messaging service. Canadians are being advised to be cautious if the person they are talking to starts discussing crypto trading or investments. These scammers often present victims with unrealistic crypto investment schemes that promise high returns.
Once victims are convinced, they are directed to sign up on fake investment platforms created by the scammers. However, once the scammers have gained access to their identity, the victims’ invested funds are locked and cannot be accessed. Initially, victims may be allowed to withdraw small amounts to maintain the illusion of legitimacy.
It is essential for Canadians to report any instances of fraud to the CIRO, CAFC, and local police. In 2023 alone, Canadians lost $309.4 million to investment frauds, making it the most common type of scam that year. Social media-related frauds accounted for $172 million of this total.
In other news, Canada is planning to implement the Crypto-Asset Reporting Framework (CARF) for taxation purposes by 2026. This framework will impose new reporting requirements on crypto asset service providers (CASPs), including cryptocurrency exchanges, crypto-asset brokers and dealers, and crypto-asset automated teller machine operators. CASPs, whether individuals or business entities, will be required to obtain and report customer information such as name, address, date of birth, jurisdiction(s) of residence, and taxpayer identification numbers.
Furthermore, the CARF defines stablecoins, certain nonfungible tokens, and derivatives issued in the form of a crypto-asset as examples of crypto assets. The goal of this framework is to enhance transparency and compliance within the crypto industry.
In the world of blockchain, Ronin has seen a surge in daily users, thanks to bots and airdrops. This has propelled Ronin to become the second most popular blockchain platform, attracting a dedicated following beyond just Pixels fans.