PJ Jenkins enjoys staring at his money on some days. He can’t get the money worth roughly $15,000 in bitcoin since crooks have stolen it from him. However, because of the peculiarities of cryptocurrency, the cash is accessible to him online via the blockchain, teasing him.
According to victims interviewed by The Washington Post, despite multiple attempts to warn law enforcement, they have yet to be contacted, leading them to assume that no agency is even aware of the fraud, let alone investigating it. So instead, they’re forming their groups on Reddit and Facebook to commiserate and plot.
Catfishing in cryptocurrency
“American history is littered with examples of fraud where many individuals you wouldn’t expect to be taken in,” said Edward J. Balleisen, a Duke history professor who wrote “Fraud: An American History From Barnum to Madoff.”
He references late-nineteenth-century “commodity-pool” frauds in which Americans sent money by mail to participate in “can’t-miss” wheat futures. These frauds also occurred “on the edge of economic innovation,” he adds, where thieves discovered they could profit from a mix of consumer excitement and government confusion.
When The Post contacts Coinbase security officer Philip Martin about the frauds, he states that he cannot comment on Jenkins’ condition. However, “some negative actors will get on the platform,” he says. “When we uncover them, we collaborate with the proper law enforcement organization and regulators to keep them from causing harm.”
Martin also expresses that the business has been looking into liquidity mining frauds since January. However, he claims he isn’t sure if Coinbase will go through its data to discover and contact people.
The CB-ETH website does not reply to many requests for feedback via its live-chat system.
Tether’s chief technical officer, Paolo Ardoino, published a statement in response to The Post’s inquiries. “Tether takes any allegations of theft, fraud, or loss extremely seriously,” the company states. “Tether will freeze wallets if alerted by proper law enforcement demands but cannot fulfill arbitrary requests to freeze wallets if these requirements are not satisfied.”
There is no remedy.
“The blockchain is this permissionless frontier region,” MetaMask’s Finlay explains. “You know, I’m not sure if every user realizes how much they’re actually on their own.”
“I simply feel like there are different ways to get money,” he explains. “Sure, some of it appears too wonderful to be actually true. Yet if you treat it like gambling, if you approach it correctly, you may make a lot more money than if it sat in a bank.”
Payment industry guru Taylor Cole is a passionate payments expert who understands the complex world of cryptocurrency exchange UK. He also writes non-fiction, on subjects ranging from personal finance to stocks to cryptopay. He enjoys eating pie with ice-cream on his backyard porch, as should all right-thinking people.