Malaysian authorities warn of an uptick in crypto investment fraud

Malaysia is seeing a rise in cryptocurrency investment scams, with authorities warning that more professionals and senior citizens are being targeted.

Bukit Aman Commercial Crime Investigation Department Director Datuk Seri Ramli Mohamed Yoosuf said in a Mar. 17 report that older investors, especially those over 60, should be extra cautious and avoid rushing into crypto investments.

Ramli highlighted a recent case where a 74-year-old lost tens of millions of ringgit after falling for a scam.

Some victims, he explained, believe that purchasing multiple cryptocurrency coins—each worth hundreds of thousands of ringgit—will guarantee big profits, but in reality, “no investment is made, it’s purely a scam.”

Beyond crypto fraud, phone scams remain another major concern. Crypto scammers often impersonate trusted authorities, whether it’s financial regulators, banks, or even law enforcement, to trick victims into handing over their money.

Ramli warned locals to be wary of fraudulent calls impersonating authorities, stressing that legitimate agencies like the police, tax office, and central bank do not operate through multi-step phone calls that bounce between different departments.

“There’s no such thing as a call that starts with a courier company, then connects to the police, the bank, and the audit department—all in one conversation,” he said.

Ramli attributed the surge to rapid technological advancements, making fraud schemes more sophisticated.

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Scammers have been increasingly leveraging AI-based tools and deepfake technology to make their schemes more convincing by often impersonating authorities or legitimate projects. Experts have warned that this trend is likely to continue.

Malaysian authorities are also turning to AI and blockchain technology to combat financial crimes, using these tools to enhance fraud detection and track illicit transactions more effectively.

“As law-abiding citizens, do not be afraid and don’t fall for these scams, you could end up losing millions,” Ramli said, adding that many scam operations are run from luxury condominiums in densely populated areas like Selangor, Kuala Lumpur, and Penang.

Despite the growing threat, authorities have made some progress in tackling the issue, with the JSJK carrying out 23,000 arrests linked to scam syndicates last year—a figure Ramli described as a “significant achievement.”

Beyond investment fraud, Malaysia has also struggled with an uptick in illegal Bitcoin mining operations. As previously reported by crypto.news, authorities have uncovered cases where miners illegally tap into electricity, costing the country’s power grid hundreds of millions in losses.

Read more: Illegal Bitcoin mining operation explodes in Malaysia

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