The largest age group to fall victim to con artists is those who are under 64 and over 55. According to the most recent data from Scamwatch, Australians have continued to fall for investment and crypto scams. Handing out 242.5 million Australian dollars to con artists so far in 2022.
The majority of money lost to scams of any kind between January and July of this year was investment scams. It includes everything from traditional Ponzi schemes to crypto scams. The amount is already 36% more than the total 2021 numbers. Hence, it showed that Australians lost 178.2 million Australian dollars to investment scams during the year.
In order to “force greater investment in combating fraud,” consumer activists are calling on banks to take on more responsibility for compensating scammers. The Australian Broadcasting Corporation (ABC) reported on Thursday that advocacy organizations are pressing for changes.
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That would require banks to verify that the recipient’s name matches the account name especially when money is moved online. According to CEO of Consumer Action Law Center Gerard Brody, “the crucial reform is to move that accountability from individual customers to banks when it comes to scam losses.”
“They [banks] ask you for the account name, but they don’t actually check.” The PayID technology, which is optional and enables clients to view the name associated with a BSB and account number. It is something that banks, however, want more customers to use.
According to Brody, it is obvious that the voluntary system that makes consumers exclusively responsible for avoiding scams is ineffective. A spike in crypto scams, hacks, and the general market collapse looked to have increased Australian authorities’ monitoring of the cryptocurrency industry.
Sean Hughes, commissioner of the Australian Securities and Investments Commission (ASIC), allegedly cautioned investors. So as to understand that buying crypto assets involves “severe risk-taking” on Sunday.
According to local media, ASIC commissioner Sean Hughes stated: “We want to be very explicit and unambiguous in our communications to customers entering the market.”
The Australian Federal Police established a specialized unit in August to track cryptocurrency-related transactions. After earlier labeling the technology an “emerging menace” due to an increase in criminal activities.
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The new Australian Labour government also revealed its position on cryptocurrency regulation during the month. And Binance Australia, a cryptocurrency exchange, said in August that it was tightening its new user onboarding procedures. In order to protect those who were identified as being most susceptible to financial crypto scam.