Australia's ASIC shuts down 615 crypto scam sites amid $1.3 billion fraud surge

Australia’s Securities and Investment Commission (ASIC) has shut down 615 crypto scam websites over the past year, according to an Aug. 19 statement.

This action is part of a broader effort to combat investment fraud in the country. The regulator closed 7,300 scam websites, including 5,530 fake investment platforms and 1,065 phishing sites.

Over $1 billion lost

ASIC cited the surge in investment scams as the reason for these takedowns, revealing that such scams resulted in approximately $1.3 billion in losses in 2023. The regulator emphasized that shutting down these sites helps disrupt the connection between scammers and potential victims.

Sarah Court, ASIC’s Deputy Chair, highlighted that scammers exploit Australians, stealing billions each year. She noted that while technology offers many benefits, it also provides new avenues for fraud.

Court further stressed the importance of swiftly removing these sites to protect Australians, with an average of 20 investment scam websites being taken down daily. She added:

“Scammers will continue to adapt and find new ways to lure consumers, and ASIC remains proactive in detecting and disrupting investment scams.”

Among the removed sites was Dexa Trade Markets, which ASIC identified as a crypto scam platform. The regulator acted after an Australian consumer reported falling victim to a crypto investment scam falsely claiming international regulation, high trading volumes, and millions of investors.

Crypto scams

Australia’s regulatory action reflects how crypto scams continue to be a major issue hampering the industry’s growth.

California’s Department of Financial Protection and Innovation (DFPI) data revealed that fraudulent trading platforms made up 87% of all reported crypto scams in 2024.

According to the regulator:

“Imposter websites are one of the most common reported scams.”

Malicious players try to take advantage of confusion generated by creating companies or websites with names that look or sound like those of other companies or websites that also operate in the marketplace.