Over MVR 2.9M lost to new cryptocurrency scam targeting foreigners

Maldives Police Service, on Tuesday, revealed that over MVR 2.9 million has been lost to a new and sophisticated cryptocurrency scam targeting foreign workers, especially Chinese nationals, in the Maldives.

According to the Police, the scam runs on fraudulent cryptocurrency transactions works in the following way: scammers initially approach local cryptocurrency sellers by posing as legitimate clients, convincing them to act as intermediaries in what appears to be a routine currency exchange. The scammer provides a specific digital wallet address for the transfer.

At the same time, the scammer arranges for a foreign national—carrying Maldivian Rufiyaa (MVR) in cash—to meet with the seller. The foreign national is falsely led to believe they are exchanging MVR for foreign currency, which will be deposited into their bank account.

When the two parties meet, the foreign national hands over the cash, and upon verifying the amount, the seller transfers the equivalent value in USDT to the wallet address given by the scammer.

However, once the transaction is completed, no funds are deposited into the foreign national’s account. The scammer vanishes with the cryptocurrency, leaving both the seller and the foreigner in dispute. The seller loses their digital assets, while the ownership of the cash becomes contested, as both parties blame each other when the USDT fails to arrive.

The Police has issued a strong warning urging the public to exercise extreme caution when engaging in cryptocurrency or currency exchange transactions. Authorities advise individuals to verify the identity of everyone involved and to avoid dealing with unknown third parties acting as intermediaries.

They stressed that no one should ever send money or cryptocurrency to accounts or wallets belonging to individuals who are not physically present during the transaction.

Members of the public who receive suspicious proposals or believe they may have fallen victim to such scams have been urged to report the matter immediately. Victims or concerned individuals can contact the National Emergency Call Center at 911 or visit the nearest police station.

Maldives Police Service has confirmed that investigations into these fraud cases are ongoing, and efforts are underway to identify and bring those responsible to justice.