Police in the UK have issued a warning to individuals regarding a cryptocurrency investment platform after receiving reports of fraud. Coscoin, also known as Cos or Cosetek, claims to be a leading AI quantitative trading platform that enables users to double their investments. However, since the end of November, numerous victims across the country have been unable to access or withdraw their funds. The North East Regional Organised Crime Unit (NEROCU) has reported 78 victims in the north-east of England, with a collective loss of £214,869, averaging approximately £2,900 per person.
According to officers, the structure of Coscoin prompts users to recruit others to the platform, resembling a Ponzi or pyramid scheme. Det Insp Paddy O’Keefe, who heads the economic crime team, advises individuals to be cautious when presented with investment opportunities that sound too good to be true. He further cautions against falling victim to scams promising to recover lost investments, as they may lead to further fraudulent activity.
NEROCU has urged affected individuals to report their cases to Action Fraud, as it assists in gathering intelligence to warn others about potential scams. The police unit believes that Coscoin is based in Washington, United States. One individual interviewed by the BBC, a former Nissan employee, described feeling manipulated by someone purporting to work for Coscoin. After leaving his job, he became a WhatsApp group administrator for a cryptocurrency app, only to discover that users were unable to access their investments.
In light of this development, investors are advised to exercise caution and skepticism when considering cryptocurrency investment platforms. While the promise of substantial returns may be tempting, it is crucial to thoroughly research and evaluate the legitimacy and reliability of such platforms before making any financial commitments.
The incident involving Coscoin serves as a reminder that scams in the cryptocurrency world remain a prevalent threat. Individuals should remain vigilant, verify the authenticity of investment opportunities, and be wary of schemes that rely on recruiting new participants. By being cautious and reporting suspicious activities to the appropriate authorities, individuals can play a vital role in combating cryptocurrency fraud and protecting themselves and others from financial losses.
Frequently Asked Questions (FAQs) Related to the Above News
What is Coscoin?
Coscoin is a cryptocurrency investment platform that claims to be a leading AI quantitative trading platform.
What does Coscoin promise to its users?
Coscoin promises its users the ability to double their investments.
What issues have been reported regarding Coscoin?
Since the end of November, numerous victims across the UK have reported being unable to access or withdraw their funds from Coscoin.
Are there any warnings about Coscoin?
Yes, the police have issued a warning about Coscoin, stating that it resembles a Ponzi or pyramid scheme.
How many victims have been reported in the UK?
The North East Regional Organised Crime Unit (NEROCU) has reported 78 victims in the north-east of England, with a collective loss of £214,869.
What is the advice from the police regarding investment opportunities like Coscoin?
The police advise individuals to be cautious when presented with investment opportunities that sound too good to be true.
Is there a warning against scams promising to recover lost investments?
Yes, the police caution against falling victim to scams promising to recover lost investments, as they may lead to further fraudulent activity.
What should affected individuals do?
Affected individuals are urged to report their cases to Action Fraud, as it assists in gathering intelligence to warn others about potential scams.
Where is Coscoin believed to be based?
The police unit believes that Coscoin is based in Washington, United States.
What precautions should investors take when considering cryptocurrency investment platforms?
Investors are advised to exercise caution and skepticism, thoroughly researching and evaluating the legitimacy and reliability of such platforms before making any financial commitments.
How can individuals protect themselves from cryptocurrency fraud?
Individuals should remain vigilant, verify the authenticity of investment opportunities, and be wary of schemes that rely on recruiting new participants. Reporting suspicious activities to the appropriate authorities is also crucial in combating cryptocurrency fraud and protecting oneself and others from financial losses.
Please note that the FAQs provided on this page are based on the news article published. While we strive to provide accurate and up-to-date information, it is always recommended to consult relevant authorities or professionals before making any decisions or taking action based on the FAQs or the news article.
