Scammers Run Off With More Than $2 million After Carrying Out Fake ICO. Scammers have obtained more than $2 million in Cryptocurrency after carrying out an apparent fake initial coin offering (ICO). The scammers used the fake LinkedIn profile and stole images from another Instagram account to create a fake person, and then they got more than 1,000 investors invested in Giza, their ICO project.

Investors who were victims of the ICO scam told CNBC that they thought they were investing in a real project until warning signs began to emerge, such as the fact that the company had a falling out with its only supplier and a lack of communications from the founders of the startup. Investors were also unable to get back lost funds, leading to the revelation that they had been scammed.

Giza claimed to be creating a device that was very secure and allowed people to keep their cryptocurrency tokens. The ICO launched in January and remained open for several weeks, as investors purchased tokens in the amount of $10,000 and $5,000, in some cases. At the beginning of February, CNBC said Giza had raised and had more than 2,100 Etherum coins, which were valued at around $2.4 million. All of it but $16 worth are now missing, noted CNBC.

In mid-February, the digital wallet address where investors were told to send the money started registering big outflows of ethereum. That lasted for two weeks, with the last happening on March 2, most of the money was sent to several wallet addresses. With investors not able to get back their money, several told CNBC they have reached out to the law enforcement in the U.K.

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