Recently, I came across this online scam called Pig Butchering Scam. The name sounded very interesting. Apparently, the term “pig butchering” arises from an analogy comparing the initial phase of gaining the victims’ trust to the fattening of pigs before slaughtering them. The scam is just as harmful as its name implies.
What is Pig Butchering Scam?
A pig butchering scam is a type of long-term scam and investment fraud in which the victim is gradually lured into making increasing financial contributions, usually in the form of cryptocurrency, to a fraudulent financial scheme.
Modus Operandi
Pig-butchering scams involve a series of meticulously planned steps to deceive and exploit victims, typically focusing on cryptocurrency investment fraud.
- Initial Contact: Scammers approach the victims through multiple social media applications, messaging platforms or dating apps.
- Gaining trust: Scams often begin with casual conversations initiated by the scammer, who may pretend to have received the victim’s contact details accidentally or through a mutual acquaintance. These initial interactions are designed to build trust and may involve the use of attractive profile images to lure victims.
- Introducing the investment: As trust is established, the scammer introduces the victim to a fraudulent investment scheme, promising significant returns in a short period. The scammers use persuasive tactics and counterfeit investment portfolios to convince victims of the scheme’s legitimacy.
- Collecting money: After persuading the victim to invest, scammers collect funds, often through digital payment platforms or cryptocurrencies, to complicate tracking and tracing of the transactions.
- Disappearance of the scammer: Once a substantial amount has been collected, or when victims attempt to withdraw funds, scammers become unreachable, delete their online presence, or create new identities, leaving the victims with no way to recover their funds.
Furthermore, the scammers develop fake brokerage websites and mobile applications to add legitimacy to their scheme, making it difficult for victims to distinguish them from genuine platforms. Millions of dollars lost by victims emphasizes the importance of caution and vigilance in online investments.
Who are they?
It is an organised crime with multiple layers. The scam originated in China in 2016 or earlier. Now it has spread across the globe. Perpetrators usually come from fraud factories which are part of organised crime gangs.
Impact on the Victim
The scam typically combines elements of romance and investment fraud, and often involve the gradual building of a relationship with the victim, leading to significant financial losses. Victims are lured into investing in fake opportunities, particularly with cryptocurrencies, and end up losing large sums of money. The psychological impact is equally severe, as victims not only face financial ruin but also the loss of what they perceived as a genuine, intimate relationship. These type of scams are particularly insidious because they play on both the financial aspirations and emotional needs of individuals, leaving victims feeling betrayed, embarrassed, and reluctant to discuss their experience with others or report it to authorities.
How do we stay safe?
- Be cautious with strangers online: Avoid sharing personal or financial information with people you’ve just met on social media, dating apps, or messaging platforms.
- Verify identities: Don’t take anyone at face value. Perform background checks or verify details about someone who approaches you online, especially if they suggest investments.
- Watch for “too good to be true” offers: Scammers often present themselves as ideal partners or offer unrealistic investment opportunities with high returns. Stay skeptical.
- Avoid unknown investment platforms: Be cautious about investing in platforms or apps recommended by someone you met online. Always research and verify the legitimacy of the platform.
- Never send money to unverified people: Avoid transferring funds or sharing banking details with someone you don’t know personally.
- Use two-factor authentication (2FA): Protect your accounts by enabling 2FA, which adds an extra layer of security.
- Educate yourself: Stay informed about common scams and how they work so you can recognize red flags early.. You can check for scams in ScamYodha .
- Report suspicious activity: If you suspect you’ve encountered a scam, report it to the relevant platform like ScamYodha . If necessary, file a police complaint.
Protecting Yourself
You can protect yourself from falling victim to these scams by staying alert and aware. Keep yourselves up to date about new scams. Trust your instincts. If something feels off or too good to be true, it probably is.
