If you were offered the opportunity to triple an investment in two months, would you take it? It can be hard to say no, but it might be too good to be true.

Since 2020, the Better Business Bureau (BBB) ​​has received more than 4,000 consumer reports of investment scams, many of which involved cryptocurrencies or a new approach to romance fraud.

BBB reports show that investment scams often take the form of long-term scams, in which fraudsters seek romantic and platonic relationships to gain the trust of their targets. This has led to an increase in losses, with the median ratio increasing from $1,000 in 2021 to almost $6,000 this year.

To help consumers and businesses understand investment scamsThe Better Business Bureau’s International Investigations Initiative has combed through thousands of reports to BBB Scam Trackerdiscussed with experts and studied the latest trends to compile the latest III study — Investment scams: Crypto and romance scams on the rise, BBB study finds.

The study combines consumer testimonials and examines how scammers convince their targets to hand over thousands of dollars. It also shows how the rise of organized crime based in Southeast Asia has helped perpetuate this global scam.

This comprehensive study aims to help consumers, businesses, news media, researchers and regulatory agencies understand:

• How Investment Scams Work and How to Avoid Them
• What type of control helps fight fraud?
• Alerts for consumers and businesses

An increasingly common tactic is revealed by the experience of a California man who told BBB he was traveling through France when he met a woman on a dating app calling herself “Mei.”

The two talked for months and even had video calls as they got to know each other. Eventually, she brought up cryptocurrency investing as her hobby and convinced Darryl to join her.

The two continued to talk on the phone for months and he invested nearly $1,000. One day, when Darryl went to check the app he was using for investing, it seemed to be broken. When he contacted Mei, she pushed him away and disappeared.

In some cases, losses reach devastating amounts.

A Connecticut woman reported a cryptocurrency scam she met on social media. Unbeknownst to him, a friend’s social media account was hacked.

The scammer, posing as a friend, said he was operating an automated training bot – a program used to automatically trade cryptocurrencies at the user’s direction – with guaranteed returns. The account seemed to grow and grow, and eventually Jeanne wanted to take some of it out. The scammer, still posing as a friend, said he wanted a 20 percent commission, which Jeanne paid. Subsequently, they disappeared and Jeanne lost $84,000 in the process.

Red Flags: How to Avoid Cryptocurrency Investment Scams

• Deals involving little-known players cryptocurrencies
• Requests to share your cryptocurrency wallet with someone you don’t fully trust
• Strategies offering guaranteed returns
• An investment that requires little effort or time to make
• Someone offers their secret strategy or says not to research their claims
• Claims too good to be true
• A stranger suddenly wants to be friends with you

Where to report investment scams