MIDDLETOWN TWP., Pennsylvania (WPVI) – Two suspected cryptocurrency frauds have recently come to light in Delaware County, prompting an investigation by the Pennsylvania State Police.

One individual, who chose to remain anonymous, shared his experience with Action News, revealing a significant financial loss amounting to tens of thousands of dollars.

Describing his initial attraction to the scheme, the victim explained, “It seemed like a really good way to make some extra money because I am retired,” as he spoke with Investigative Reporter Chad Pradelli.

According to the victim, a friend introduced him to an opportunity involving day trading cryptocurrency and recommended a particular individual to assist him in this venture.

Initially, the platform appeared reputable, and he observed profits accumulating. He even managed to make a few small withdrawals successfully.

However, when attempting to withdraw a larger sum, red flags were raised.

“They said they had to do a capital verification and to send them $278,000 and, once that was released, they’d send the money back,” the victim recounted, realizing he may have fallen victim to a scam. Subsequently, he reported the incident to state authorities.

Overseeing the surge in cryptocurrency scams globally, Drexel professor and technology crime expert Rob D’Ovidio described the industry as a multi-billion dollar fraudulent sector.

Highlighting the lack of regulatory oversight in the crypto realm, D’Ovidio emphasized the importance of engaging with extensively advertised platforms for added legitimacy.

Moreover, he cautioned that recovering stolen funds from such illicit operations is exceedingly challenging, particularly when dealing with criminal networks based in countries lacking extradition agreements with the United States.

While the Pennsylvania State Police are actively investigating these cases, they have refrained from providing detailed comments at this time.

Copyright © 2024 WPVI-TV. All Rights Reserved.