Tr?id=566623520170033&ev=PageView&noscript=1

Surge in Elderly-Targeted Cryptocurrency Scams

Posted on June 22nd, 2023 at 11:26 AM
Surge in Elderly-Targeted Cryptocurrency Scams

From the desk of Jim Eccleston at Eccleston Law 

According to U.S. Department of Justice research, over 3,000 senior citizens were victims of investment cryptocurrency scams. The Federal Bureau of Investigation (FBI) has reported that senior citizens lost over $1 billion from cryptocurrency scams just last year.

According to Emily Sherlock's report shared by WealthManagement.com, there are five warning signs of potential cryptocurrency-related elder fraud which estate planners and financial advisors should be vigilant about. They are:

1. An elderly client opens an account at a crypto asset exchange (and begins making transfers to an associated crypto wallet), despite demonstrating minimal or no knowledge of cryptocurrency. 
2. An elderly client starts using his or her debit or credit card to make frequent or high-value purchases of crypto assets.
3. An elderly client funds their purchase of crypto assets with substantial savings from a retirement account.
4. An elderly client starts making large cash withdrawals from a bank account and indicates that he or she intends to deposit the funds at a Bitcoin ATM. 
5. A caregiver of an elderly client starts trading crypto assets in inexplicably large amounts that appear to be beyond the caregiver's own means.

To safeguard elderly clients, proactive estate planners and financial advisors can play a crucial role in advising them to exercise skepticism towards unsolicited crypto
investment opportunities that appear too good to be true. Additionally, educating clients about the common tactics employed by these scams can contribute to their protection.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

Hiring Eccleston Law has been one of the best career decisions I have made and this "investment" to maintain my sterling regulatory record has been returned many times over.  If you are in a situation where you've been unfairly accused, don't hesitate to talk with Eccleston Law. They are the best.

Thomas C.

LATEST NEWS AND ARTICLES

1785531573 Law
July 31, 2026
Former Alabama Financial Advisor Barred After Selling His Practice

The U.S.

1785428190 Law
July 30, 2026
CFP Board Proposes New Rules for Handling Expunged Criminal Records

The CFP Board has announced that it is considering a proposal to change how it treats applicants with expunged criminal convictions, according to Wealth Management.

1785344491 Law
July 29, 2026
Edward Jones Invests in Fintech Firm Focused on Preventing Elder Financial Fraud

Edward D.