Thailand Law Library

by Thailand Lawyer

As cryptocurrency becomes more popular, criminals are creating new “crypto scam” methods to steal money from unsuspecting investors in ways that are difficult to trace. This article explores some common crypto scams in Thailand, how they work, how to avoid getting scammed, and what to do if you fall victim to one. By staying alert and keeping well-informed about these schemes, you can protect yourself and your assets with smart investment decisions. 

Types of Crypto Scams in Thailand

Crypto scams in Thailand can take many forms, but often include one or more of the following schemes: 

• Phishing: These scams involve emails or text messages that seem to be from someone you know or a reputable business such as a crypto wallet company. The goal is to deceive you into clicking on a link that takes you to a fake website designed to steal your crypto wallet keys and ultimately your funds.
• Romance Scams: Perhaps one of the most common scams in Thailand, this scheme involves fraudsters creating fake online profiles or approaching you in person to build romantic relationships. After gaining trust, they convince you to invest in or transfer cryptocurrencies, manipulating your emotions to steal your money.
• Blackmail: Scammers threaten to release compromising information about you unless you pay them in cryptocurrency. This tactic is often used in conjunction with a romance or phishing scam.
• Impersonation: Scammers pretend to be legitimate entities like companies, executives, or even government agencies. They use logos, social media verification checks, realistic-looking websites, customer service teams, and other branding elements to gain your trust. Then, they can manipulate you into sending money or revealing login credentials to crypto wallets.
• Crypto Giveaway Scams: Scammers use social media posts to impersonate public figures or reputable business entities and promise free cryptocurrency to those who sign up.
• Exit Scams or “Rug Pull” Scams: In this scam, the developers of a cryptocurrency project promise a profitable investment vehicle (often a new kind of crypto coin), then abandon it after taking all the invested funds, leaving you with worthless currency.
• Pump and Dump: Fraudsters artificially inflate the price of a cryptocurrency through false or misleading statements. Once the price peaks, they sell off their holdings, causing the price to plummet and leaving you and other investors with significant losses.

Crypto Scam Warning Signs

Crypto scams usually have warning signs. Knowing what to watch out for can help you stay safe and make smarter investments. Be wary of:

• Unsolicited Offers: Be skeptical of unsolicited offers and messages promising high returns with little risk. If it seems too good to be true, it probably is.
• Online Connections: Individuals from dating apps or websites who turn the conversation to investment opportunities, especially involving cryptocurrency, could be trying to scam you.
• High-Pressure Tactics: Scammers often create a sense of urgency to pressure you into quick decisions.
• Poor Quality Content: Websites and messages with typos, grammatical errors, or unprofessional layouts can be red flags.
• Demand for Crypto Payment: Most businesses prefer traditional payment methods like credit cards, bank transfers, or cash. If someone is demanding payment in cryptocurrency only, it is likely a scam as crypto exchanges are less secure.
• Unauthorized Activity: Unfamiliar transactions or tokens in your crypto wallet could indicate a scam.

How to Avoid Crypto Scams in Thailand

The following tips can help you stay safe from crypto scams in Thailand: 

• Check Credentials: Verify the legitimacy of any investment opportunity and of the company or individual promoting the opportunity. Look for reviews and feedback from reputable sources. Always perform thorough due diligence checks before sending or receiving funds.
• Use Official Channels: Only use official websites and verified apps for transactions. Check official company websites and social media channels to confirm the validity of an offer or invitation.
• Avoid Unknown Links: Don’t click on suspicious links in messages or posts as they could lead to phishing websites that steal your information. Do not enter any sensitive passcodes or details on unverified websites.
• Secure Wallets: Use hardware wallets or secure, reputable software wallets to store your cryptocurrencies. Never share your private keys or seed phrases.
• Two-Factor Authentication: Enable two-factor authentication on all personal and financial accounts to add an extra layer of security.
• Stay Informed: Keep up with the latest news and developments in cryptocurrency. Staying aware of common scams and tactics can help you avoid them.

What to Do if You’re Scammed in Thailand

If you fall victim to a crypto scam, taking immediate action can increase your chances of recovering some of your losses and finding the fraudsters. Take the following steps to protect yourself and others after encountering a crypto scam in Thailand:

• Report the Scam
  • Tourist Police: Contact the Thai Tourist Police at 1155 and file a report.
  • Anti-Online Scam Center (AOC): The AOC works specifically with internet scams and may be able to track online criminals to prevent future losses. You can contact the Center 24/7 at 1441.
  • Online and Search Engine: Report the scam to the platforms where the initial contact was made, such as a social media site or dating app. This can help prevent others from falling victim to the same scam. If you encounter a phishing page, you can report the webpage to Google’s Safe Browsing team.
• Protect Your Finances: Notify your bank’s fraud department of the transaction. They may be able to block future payments to the scammer and help protect other potential victims.
• Gather Evidence: Save all communications, transaction records, and any related documentation. This evidence is crucial for reporting the scam and seeking legal recourse. Take screenshots of websites, emails, and messages that are part of the scam.
• Seek Legal Assistance: Seek legal advice from a lawyer specializing in fraud and cryptocurrency scams. They can guide you through the process of legal action and potential recovery of your losses.

Crypto scams are a growing concern in Thailand as scammers learn to exploit the novelty and lack of security of digital currencies. By understanding how these scams operate, recognizing the warning signs, and taking proactive measures, you can prevent yourself from falling victim. If you do find yourself caught in a crypto scam, taking swift action and seeking legal assistance can help mitigate the damage and increase the likelihood of recovering your losses. 

Reputable Fraud and Scam Lawyers in Thailand

Siam Legal is a reputable law firm with more than 20 years of experience in Thai law. Our committed team of fraud advisors offers personalized and compassionate support to assist you in recovering from a crypto scam. We will help you understand your rights, guide you through the legal process, assist you in reclaiming your losses, and, if necessary, represent you in litigation.