HYDERABAD: With Rs 1.2 lakh in his bank account, a young civil service aspirant started peer-to-peer (P2P) cryptocurrency trading in hopes that he will get a good commission and save a lot of money. Little did he know that he would become an indirect victim to cybercrime.
Cyberabad DCP (cybercrime) K Shilpavalli revealed that P2P trading is the new way through which cyber fraudsters are trying to evade the police.
For the uninitiated, P2P is a means of crypto trading wherein individuals can buy and sell digital assets directly with one another. “P2P is not platform-based trading,” the DCP explained. “For instance, there are Telegram channels where these traders meet, interact and trade.”
How does P2P trading figure in cybercrime?
“Cyber fraudsters scout people who do P2P trading on Telegram and promise them a good commission. They then convert their crime proceeds with them from Indian rupees (INR) to cryptocurrency or vice-versa,” Shilpavalli shared.
Since these traders meet online without verifying KYC, they do not know the source of the money and end up dealing with crime proceeds. “So when the police trace a cybercrime case, the transactions made by this individual doing crypto trading are also noticed and automatically the bank account of the P2P trader gets frozen,” she said.
Not only does the trader’s money get frozen in his bank account, if and when the original victim’s money must be refunded, the bank would transfer the amount from the P2P trader’s account to the original victim. “Ultimately, the fraudster evades with the money that has already been converted and the victim gets the refund amount, but the cryptocurrency trader, who is caught in between them, loses his money,” the DCP added.
Crypto traders, beware!
DCP K Shilpavalli advised people not to respond to messages or calls relating to crypto trading. It is advised not to do crypto P2P trading. Avoid trading with anonymous persons or new acquaintances online. Verify KYC before trading. Call 1930 for any cyber-related complaints, she informed.