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Just as you shouldn’t rely on social media for credible news, you shouldn’t take investment advice from someone posting on Facebook and Instagram. Authorities are warning consumers that scammers are using these platforms to ensnare victims.

The scheme first hooks victims by helping them realize actual profits, a move that builds credibility and earns trust. But once the victim has earned some cash, the scammers encourage them to transfer the money to a fake trading platform. In reality, it’s a bank account controlled by the scammers, who steal the money.

The scam has popped up in Florida within a large population of retired people. Florida Attorney General Ashley Moody says her office has received about 100 complaints in the last month.

“The allure of quick profits has drawn millions to cryptocurrency trading, with many new investors joining the market daily,” Moody said. “Where there is opportunity though, there are also scammers, baiting victims with early success, then prompting them to transfer their profits to fraudulent trading platforms.”

Victims get scammed after making some money

Moody said investigators are seeing a sharp uptick in complaints that coincide with recent gains in cryptocurrency, such as Bitcoin. Moody said it’s important for people to understand how these criminals operate.

After a victim clicks on an ad promoting investments in a cryptocurrency website, they are prompted to set up an account with a…

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