A new wave of crypto scams is targeting unsuspecting investors by leveraging trade war fears and fake endorsements from government officials, warns the Alberta Securities Commission and the Financial and Consumer Services Commission of New Brunswick. The scammers are using a variety of tactics, including fake news articles, doctored photos, and artificial intelligence to create a convincing illusion of legitimacy.

One of the most brazen examples of this scam is the "CanCap" scheme, which faked an endorsement from then-Prime Minister Justin Trudeau. According to the Alberta Securities Commission, the scammers created a fake news article that appeared on Canada's national public broadcaster, the CBC, with Trudeau purportedly endorsing the investment program involving digital currencies in response to US tariffs. The fake article was accompanied by a transcript of an interview with New Brunswick Premier Susan Holt, who was allegedly promoting CanCap and featuring doctored photos of herself unveiling the new platform.

The scammers are taking advantage of the uncertainty caused by US President Donald Trump's policies, including his 25% tariffs on Canada. The commission notes that this has led to increased anxiety and concern about financial security among some Canadians, making them more vulnerable to scams. "Scammers are preying on individuals when they are at their most vulnerable," said Marissa Sollows, communications director of the Financial and Consumer Services Commission of New Brunswick.

The scammers are also using artificial intelligence to generate content and create a sense of legitimacy around their schemes. They can quickly change the name and look of the scheme, as seen in the cases of "CanCentra" and "Immediate Flectinium", which have been linked to at least six other websites under varying domains.

The global losses due to crypto scams, exploits, and hacks are staggering. According to CertiK, the total losses in February were nearly $1.53 billion, largely attributed to a $1.4 billion hack on the crypto exchange Bybit. Excluding Bybit, the losses totaled over $126 million, representing a 28.5% jump from January.

As Canadians navigate these uncertain times, it is essential to be vigilant and skeptical of any investment opportunity that seems too good to be true. The Alberta Securities Commission and the Financial and Consumer Services Commission of New Brunswick urge individuals to report any suspicious activity to their local authorities. By working together, we can combat these scams and protect our financial security.

Mark Carney, who replaced Justin Trudeau as prime minister on March 9, has vowed to take action against the scammers. "The uncertainty that the US tariffs place on our economy is causing some New Brunswickers increased anxiety and concern about their financial security," he said. "We will not let these scammers attack Canadian families." The commission's communications director, Marissa Sollows, added that the situation demands immediate attention and cooperation from all stakeholders.

The crypto scam using trade war fears to lure victims is a concerning trend that highlights the importance of vigilance and skepticism when it comes to investment opportunities. By understanding the tactics used by scammers and staying informed, Canadians can protect themselves from falling victim to these schemes.