Edmonton man claims he was scammed out of $450K on crypto deal
A resident of south Edmonton fought back tears Thursday as he described how he lost hundreds of thousands of dollars on a cryptocurrency investment that he is now certain was a scam.
The man, who CTV News Edmonton has agreed not to identify because he claims to be the victim of a crime, said he thought he was investing $450,000 on a site called Cryptos-Circus.
"At this point, I don't have too much confidence in recovering anything. The police have basically told me that once a crypto scam is completed, you'll never see your money again," he said.
In April, he used the site to make an initial deposit. Shortly after, he says someone claiming to be an independent broker in charge of the account started asking for more money.
“We would do a trade together, it was very comfortable and convenient. Everything was going well. I saw huge returns, so it gave me the impact of wanting to do more,” he said.
After making his final deposit of more than $200,000 dollars he says the broker told him that one of the letters in the wire transfer was not capitalized, and for that reason, all of his funds were gone.
The man chose to get a second opinion from an investment firm he had used previously.
“The company reported back that (the capital letter) did not make a difference, and the place that I had the wallet address from, the money did go into that account. That’s when I got red flags and I knew immediately that’s when I got scammed,” he said.
He said he filed a complaint with Edmonton Police Service but has little hope it will result in an arrest or getting his money back.
The Ontario Securities Commission issued an investor warning about Cryptos-Circus on Aug. 22, 2022.
'HIGH RETURNS…IS THE NUMBER ONE RED FLAG'
This week, police announced that more than $5.6 million dollars of cryptocurrency have been stolen from Edmontonians through various scams since 2019.
Scammers are capitalizing on the recent spike in crypto popularity with a number of tactics, according to the Alberta Securities Commission (ASC).
“High returns, no matter what, is the number one red flag. There’s not an investment on this earth that is guaranteed to give you a high return," said Hilary McMeekin with ASC.
She added that where investors get information is crucial.
“When they're trying to pitch you from ads on dating apps and social media sites, those are not places where legitimate investors are looking to advertise,” McMeekin said.
In the case of the man who claims to have lost $450,000, he said his broker still calls him multiple times a week for more deposits.
The ASC has information on cryptocurrencies and safe investing tips on its website.
With files from CTV News Edmonton's Marek Tkach
CTVNews.ca Top Stories
DEVELOPING Person on fire outside Trump's hush money trial rushed away on a stretcher
A person who was on fire in a park outside the New York courthouse where Donald Trump’s hush money trial is taking place has been rushed away on a stretcher.
Mandisa, Grammy award-winning 'American Idol' alum, dead at 47
Soulful gospel artist Mandisa, a Grammy-winning singer who got her start as a contestant on 'American Idol' in 2006, has died, according to a statement on her verified social media. She was 47.
She set out to find a husband in a year. Then she matched with a guy on a dating app on the other side of the world
Scottish comedian Samantha Hannah was working on a comedy show about finding a husband when Toby Hunter came into her life. What happened next surprised them both.
'It could be catastrophic': Woman says natural supplement contained hidden painkiller drug
A Manitoba woman thought she found a miracle natural supplement, but said a hidden ingredient wreaked havoc on her health.
Vicious attack on a dog ends with charges for northern Ont. suspect
Police in Sault Ste. Marie charged a 22-year-old man with animal cruelty following an attack on a dog Thursday morning.
Senators reject field trip to African Lion Safari amid elephant bill study
The Senate legal affairs committee has rejected a motion calling for members to take a $50,000 field trip to the African Lion Safari in southern Ontario to see the zoo's elephant exhibit.
DEVELOPING G7 warns of new sanctions against Iran as world reacts to apparent Israeli drone attack
Group of Seven foreign ministers warned of new sanctions against Iran on Friday for its drone and missile attack on Israel, and urged both sides to avoid an escalation of the conflict.
Police in Paris detain a man wearing fake explosives vest at Iran's Consulate
A man wearing a fake explosive vest and making threats was detained Friday outside the Iranian Consulate in Paris after police locked down the area, authorities said. His motive was unclear.
CFIA monitoring for avian flu in Canadian dairy cattle after U.S. discoveries
The Canadian Food Inspection Agency is encouraging veterinarians to keep an eye out for signs of avian influenza in dairy cattle following recent discoveries of cases of the disease in U.S. cow herds.