The Federal Bureau of Investigation, a crime-fighting organization in the US, has cautioned that cryptocurrency scammers are becoming ever bolder in pursuing new targets and victims using LinkedIn.
According to FBI special agent Sean Ragan, investment scams pose a significant threat to consumer safety, especially to those who use LinkedIn and other social media platforms.
More than $1bn has been lost to cryptocurrency scams in the United States since January 2021. LinkedIn currently has over 830m members it provides its service to, which makes it a fertile ground for scams.
Creating a legitimate profile these days isn’t too difficult with connection requests honoured by top-level executives. Nonetheless, investment fraud has increased substantially between January 2021 and March 2022; the total amount lost to cryptocurrency scams stood at $575m until March this year.
Oscar Rodriguez, LinkedIn's director of trust, privacy and equity said that the platform is aware of the problem and working hard to try and tackle scammers.
Fake profiles are often made by a network of legitimate and successful companies, so banning individuals on a whim is proving difficult.
One thing that LinkedIn could do to minimise and reduce the level of fraud is to request profile verification for its most prominent users.
Despite the FBI’s better warning and LinkedIn’s commitment to eradicating such fraud, it will be down to consumers to tell the scams apart.