How to Detect and Avoid Crypto Fraud and Digital Payment Scams

At Mazuma Credit Union, the security of our Members’ financial information and accounts is our top priority. As your trusted financial partner, we closely monitor the evolving risks our Members face in today’s digital world – from phishing and social engineering scams to identity fraud, cybersecurity threats, and beyond. We proactively share information to empower our Members to identify and avoid potential threats that can compromise the security of their data.

Cryptocurrencies and digital payment platforms have become increasingly mainstream. Unfortunately, this has led to scammers finding new ways to target people and businesses. Understanding how these schemes work, and how to spot the warning signs early, can help you protect your money and personal information.

Common Types of Crypto and Digital Payment Scams

• Fake Experts: Fraudsters often pose as investment “experts” and promise guaranteed or unusually high returns from cryptocurrency opportunities.
• Impersonation Scams: They may impersonate legitimate companies, financial institutions, or even friends and family to pressure victims into sending funds through payment apps or crypto wallets.
• Phishing Scams: Scammers may use fake emails, texts, or social media messages to steal login credentials, card numbers, or other sensitive information.

Watch for these Red Flags

• Sense of Urgency: Scammers often insist that you must act immediately to avoid missing out or to prevent negative consequences.
• Third-Party Payments: Be suspicious of any requests or demands for payment in cryptocurrency, gift cards, or through instant payment apps like Zelle, PayPal, or Venmo.
• Suspicious Questions: Legitimate institutions will never ask you to tell us login information, one-time passcodes, or recovery phrases. If asked for this information, end the conversation immediately.

How to Protect Yourself

• Verify the Source: Always verify who you are speaking to before you send money or share information. You can independently confirm requests by contacting the organization or individual through a known, trusted channel.
• Just Hang Up: Don’t be afraid to hang up or stop responding if a situation feels off.
• Don’t Click: Be cautious of unsolicited messages and avoid clicking links or downloading attachments from unknown senders.

Crypto fraud and digital payment scams rely on speed, confusion, and misplaced trust. Staying informed, slowing down before taking action, and verifying requests through trusted sources are the most effective ways to recognize scams and avoid becoming a victim.

Remember: 

Mazuma Credit Union will never call, text, or email you asking for personally identifiable information (social security numbers, secure access codes, passwords/pin numbers, card numbers, or account numbers), ask you to provide us your card, or instruct you to send money through a third-party vendor (PayPal, Venmo, etc.).  

If you are unsure whether an email, phone call, or text message is from Mazuma, please call us directly at 913-574-5000 so that we can assist you.

If you suspect a scam, report it to the FBI’s Internet Crime Complaint Center (IC3) at www.ic3.gov.

Check out Mazuma’s Member Security Center for more information!

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