Bank of Russia warns of fraud schemes involving ‘pseudo-cryptocurrencies’.

Criminals frequently invite residents of Russia to invest in ‘pseudo-cryptocurrencies’. Valery Lyakh, head of the Bank of Russia’s Department for Countering Unfair Practices, said this, according to «РИА Новости».

He noted the scheme’s popularity, wherein fraudsters offer to acquire various digital assets via transferring funds to individuals’ accounts.

“These are not even cryptocurrencies, but pseudo-cryptocurrencies – they are not traded anywhere and have no value. It is essential to understand that if you are offered to exchange money for some exotic cryptocurrencies, you have no chance of getting it back. The chance of earning from such so-called investments is roughly equal to the chance of earning by throwing money out of a helicopter,” Lyakh said.

He mentioned the Artery project, which the Bank of Russia has placed on the warning list of companies with signs of illegal activity. The ARTR coin is allegedly traded on one of the exchanges; however, you cannot acquire it there — you can only obtain the token by transferring rubles to the specified account, Lyakh noted. The project also offers mining ARTR via mobile phone and computer.

In 2020, the Bank of Russia uncovered 222 financial pyramids. Of those operating online, 16% offered investments in cryptocurrencies.

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