Uruguay Government Presents Campaign Against Crypto Scams – Bitcoin News


Uruguay’s Ministry of Interior is taking steps to warn users of the danger they face when investing in certain crypto projects that may be scams. The campaign is called “Fake Coins: Cryptocurrency Scams” and aims to educate people about the most common types of crypto scams.

Uruguay educates on crypto-related scams

More and more government agencies are becoming aware of how certain parties use cryptography to run different types of scams, and more and more of these institutions are working to educate citizens about this fact. Uruguay’s Interior Ministry has warned against this by presenting a new campaign called “Fake Coins: Cryptocurrency Scams”, launched in partnership with El Paccto and Cibel@, two joint EU-Latam organizations that fight against the organized crime.

According to the Fake Coins document:

[The project seeks to] raise awareness of major scams detected in cryptocurrency transactions. In this way, citizens will be able to identify how they are produced and what tricks fraudsters use.

The campaign has the participation of police departments and prosecutions from 17 different countries, including Argentina, Bolivia, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Spain, Guatemala, Honduras, Mexico, Panama, Paraguay, Peru, Portugal, Dominican Republic, and Uruguay.

Cryptocurrency Scam Warning Signs and Regulation

The project uses several cryptocurrency projects and fake token names that the organization has defined as scams to show the latam public how a cryptocurrency scam is different from legitimate cryptocurrency projects. Furthermore, the campaign characterizes these scams into different types, depending on their purpose. These include impersonation or impersonation scams, enticement scams, pyramid recruitment scams, and fake email promotions.

The problem of cryptocurrency scams in Latam has grown significantly with the popularization of crypto in countries like Argentina, Brazil, and Venezuela. In fact, this type of scam has been mentioned as one of the factors that has accelerated the establishment of cryptocurrency regulations in some of these jurisdictions.

In Brazil, where a number of citizens have been affected by such events, the new crypto law amends the penal code to include crypto crimes. The offenses are categorized as “fraud in the provision of services of virtual assets, securities or financial assets”, with prison terms of two to six years plus fines.

The Ministry of Uruguay advises to visit the project webpage for more information in this regard and to report any cryptocurrency project suspected of being a scam.

What do you think of Uruguay’s warning about cryptocurrency scams? Tell us in the comments section below.

Sergio Goschenko

Sergio is a cryptocurrency journalist based in Venezuela. He describes himself as late in the game, entering the cryptosphere when the price surge happened in December 2017. Having a background in computer engineering, living in Venezuela and impacted by the cryptocurrency boom at social, it offers a different point of view. on the success of crypto and how it helps the unbanked and underserved.

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