Singaporean authorities cautioned investors on Saturday of false websites that could dupe them into purportedly recovering lost FTX funds from the bankrupt exchange.
Scammers claiming to be the United States Department of Justice have been luring people hit by FTX’s collapse to websites requesting login information and credentials, according to Channel News Asia.
Investors have been cautioned by the Singapore Police Force to be careful of fraudulent websites that promise to help them recover money from the now-defunct #crypto exchange FTX. The police warned about a phishing website asking #FTX users to log in with their account details.
— kunji (@kunjitweets) November 21, 2022
The messages state they “would be able to withdraw their funds after paying legal fees.”
Singapore’s Police Force has also alerted investors of false articles advocating domestic cryptocurrency programmes, many of which include Singaporean lawmakers such as Tan Chuan-Jin, the nation’s parliament speaker.
The news comes after Police have urged investors to avoid cryptocurrency scams, namely as over one million people were hit by the recent collapse of the exchange on 11 November.
Singapore’s Crypto Crackdown
The news comes as Singapore aims to tighten regulations on cryptocurrencies and their exchanges, where it has urged investors to reconsider speculation on digital currencies.
Some of the regulations will block retail investors from trading cryptocurrencies at times when it could appear “irrationally oblivious” to the potential risks.
The Monetary Authority of Singapore (MAS) said at the time that consumers were trading based on the hope of spikes in price increases. Some restrictions include “customer suitability tests” and restricting leverage and credit facilities for trading crypto.
The measures come in a bid to promote digital asset innovation and limit cryptocurrency speculation.
The MAS also backed further measures after Three Arrows Capital (3AC) went into administration amid the ongoing FTX collapse, which sent shockwaves across the crypto industry on 11 November.
Singaporean central bank authorities will target digital payment token (DPT) services related to Bitcoin, Ethereum, and XRP to crack down on risk exposures and boost stablecoin transaction standards.
