"Crypto Romance Scam Drains $1.4M"
Researchers at Sophos Labs have unearthed a fraudulent scam that exploits iPhone users looking for love via dating apps. Under the CryptoRom scam, victims are contacted through their dating app account, and the scammer gains the victim’s trust by exchanging direct messages with them. The researchers noted that once the victim becomes familiar with the adversary, they then ask the victim to install fake trading applications with legitimate-looking domains and customer support. The adversaries move the conversation to investment and ask them to invest a small amount, and even let them withdraw that money with profit as bait. Victims are then instructed to buy various financial products or invest in special “profitable” trading events. To lure them into making a significant investment, the scammer will offer an in-app loan. When the victim wants their money back or gets suspicious, they get locked out of the account. The adversaries are scamming iPhone users based in the United States and Europe. Dating apps used to dangle the bait include Bumble, Grindr, Tinder, and Facebook Dating. Victims have been defrauded of at least $1.4m by CryptoRom.