Regulators Warn Australians Against Scanning Random Crypto Wallet Papers

In a bid to deal with the surge in the popularity of cryptocurrency scams which is prevalent in the crypto industry, Australians are instructed not to use any fake cryptocurrency paper wallets.

According to news on the NSW Police Force’s Facebook page, the scammers use QR codes to scam people they have trapped.

The scammers deposit the paper wallet which contains a QR code on the street or area leaving residents to see, pick up and scan the QR code using their mobile devices. Immediately after scanning the code, the residents have to click on a link in other to have direct access to a crypto wallet funded with about $16,000 Australian dollars (AUD).

Unknown to the individuals that the crypto wallet is a fake one, they will be asked to pay a fee in order for them to be able to transfer what’s left in the account to their personal crypto wallet. Once the withdrawal is done and the individual is able to provide his crypto wallet credentials, the scammers get away with the individual cryptocurrency from his crypto wallet.

Hence the main reason for the caution by the police. Everyone is expected to avoid picking a crypto paper wallet as it is made to look exactly like the original Bitcoin (BTC) paper wallets. 

However, once the fake crypto paper is found, individuals should make sure not to scan the QR code, access the account online, or supply any private details. Instead, cases as such should be reported immediately to the police station with evidence.

Meanwhile, anyone who is already a victim of the scam should report it at the police station or online using ReportCyber’s link. But for the main time, everyone is expected to stay vigilant. 

Australia’s Regulators Dedicated to Protecting Users

Interestingly, Australia’s Securities and Investments Commission (ASIC) in August launched a four-year plan to protect citizens from risks in the crypto market.

Additionally, the measure will protect investors from harms posed by crypto-assets, encourage the creation of an efficient regulatory framework, and increase public awareness of the dangers associated with crypto-assets and Decentralized Finance (DeFi).