Recently, Coinbase announced the launch of a new initiative called ‘Tech Against Scams’ in partnership with several industry leaders such as Meta, Ripple, Gemini, Kraken, Match Group, and GASO. This initiative aims to combat online fraud and financial schemes, while also focusing on educating and protecting users. The coalition emphasizes that scams are not limited to social media, cryptocurrency, or finance but are a widespread issue across the tech industry.
The Tech Against Scams coalition serves as a crucial platform for various tech companies to come together and collaborate on strategies to combat the tools used by scammers. They also aim to educate consumers and disrupt rapidly evolving financial scams. By sharing best practices, threat intelligence, and other valuable information, the coalition seeks to empower users with the knowledge needed to stay safe and avoid falling victim to online fraud schemes.
According to Coinbase, consumers globally lose a staggering $1.4 trillion to financial scams each year. In 2023, reports from the American public revealed losses exceeding $12.5 billion due to online fraud, indicating a significant 22% increase from the previous year. The FBI’s annual Internet Crime Report highlighted investment frauds as the leading cause of financial losses, totaling $4.57 billion, a 38% surge from the previous year. Additionally, the FBI noted that cryptocurrency investment fraud accounted for approximately $4 billion of these losses.
The Tech Against Scams initiative underscores the importance of cross-sector collaboration in enhancing visibility and developing effective practices to combat evolving scams like “pig butchering.” By sharing insights and knowledge about the lifecycle of scams, the coalition aims to provide resources for consumer education and protection. It is through such collaborative efforts that the tech industry can work together to create a safer online environment for all users.
The Tech Against Scams initiative led by Coinbase and other industry leaders represents a significant step towards combating online fraud and protecting consumers. By joining forces, these tech companies aim to disrupt financial schemes, educate users, and share valuable information to prevent individuals from falling victim to scams. It is essential for the tech industry to continue working together to address the pervasive threat of online fraud and create a more secure digital landscape for all.