- Cryptocurrency Security
- Cybercrime Prevention
- Scam Awareness
Cybercriminals are posing as AFP officers to steal cryptocurrency from Australians. Learn how this sophisticated scam works and how to protect your digital assets from fraudsters exploiting ReportCyber.
Understanding the New Crypto Wallet Scam Targeting Australians
A sophisticated cybercrime operation is currently targeting Australian cryptocurrency holders through an elaborate police impersonation scheme. Criminals are exploiting Australia's national cybercrime reporting platform, ReportCyber, to add legitimacy to their fraudulent activities and steal funds from unsuspecting victims.
The AFP-led Joint Policing Cybercrime Coordination Centre (JPC3) has issued warnings about this emerging threat, which combines social engineering tactics with official government systems to create a convincing facade of authenticity.
How the Cryptocurrency Scam Works
The scam follows a carefully orchestrated process designed to exploit victims' trust in law enforcement. Cybercriminals first obtain personal information such as email addresses and phone numbers through various illegal means. They then submit false reports to ReportCyber using this stolen data, creating official reference numbers that will later be used to validate their claims.
Once the groundwork is laid, scammers contact their targets directly, claiming to be AFP officers. They inform victims that someone has been arrested and that the victim's information appeared in a data breach related to cryptocurrency and financial services. The fraudsters provide the official ReportCyber reference number, which victims can verify in the portal using their email address, making the scam appear legitimate.
The criminals then escalate the situation by arranging a follow-up call from someone posing as a cryptocurrency platform representative. This second caller uses the same reference number to reinforce credibility and attempts to convince victims to transfer funds from their platform wallet to a supposedly secure 'Cold Storage' account—which is actually controlled by the scammers.
Red Flags and Warning Signs
Several indicators can help Australians identify this type of fraud before falling victim:
- Unexpected calls claiming to be from law enforcement regarding cryptocurrency accounts
- Requests to verify or access your cryptocurrency wallets or seed phrases
- Pressure to act quickly or urgently transfer funds
- ReportCyber reports that you didn't lodge or authorise
- Callers asking for personal financial information or account access
AFP Detective Superintendent Marie Andersson emphasised that the scam's sophistication lies in how criminals verify personal information and create urgency through the rapid sequence of events.
What Legitimate Law Enforcement Will Never Do
It's crucial for cryptocurrency holders to understand that genuine police officers and law enforcement officials will never request access to your financial accounts. Specifically, legitimate authorities will not ask for:
- Cryptocurrency account or wallet access
- Bank account login credentials
- Cryptocurrency wallet seed phrases or recovery phrases
- Personal information relating to your financial accounts
- Immediate transfers of funds to 'secure' locations
Any contact requesting these details should be treated as fraudulent, regardless of how official it may appear.
Protecting Yourself from Cryptocurrency Scams
The growing cyber awareness in the Australian community has led to increased reporting of these scams, which helps authorities track criminals and build intelligence on emerging threats. However, prevention remains the best defence.
If you receive contact about a ReportCyber report you didn't lodge or authorise, immediately terminate the call and notify ReportCyber or call 1300CYBER1 (1300 292 371). Take time to verify any suspicious communications before taking action, and never share sensitive financial information over the phone.
ReportCyber remains a safe and secure platform for reporting cybercrime, and Australians are encouraged to continue using it. However, awareness of how criminals might exploit personal details through legitimate platforms is essential for maintaining security.
The Importance of Reporting Cybercrime
Despite these scams exploiting the reporting system, every legitimate cybercrime report helps police track criminals, build intelligence on emerging threats, and prevent others from becoming victims. The JPC3 brings together Australian law enforcement with industry and international partners to combat cybercrime and protect the Australian community from financial harm.
Staying informed about the latest scam techniques and maintaining vigilant online security practices are your best defences against increasingly sophisticated cybercriminals. If you face an immediate threat to life or risk of harm, always call 000 for emergency assistance.