Alert Issued Over Coscoin Crypto Scheme Amid Rising Fraud Claims Across the UK

Law enforcement bodies have issued warnings about the Coscoin cryptocurrency investment scheme amid a swell of fraud accusations.

A recent BBC analysis reveals that Coscoin, also known as Cos or Cosetek, claims to be at the forefront of AI-based quantitative trading. The scheme attracts investors with assurances of doubling their investments.

Nevertheless, a wave of complaints across the UK has uncovered a troubling trend: investors have found themselves unable to withdraw or access their funds since the end of November.

A case in the north-east of England highlights this issue, with 78 people reporting total losses of roughly £214,869, averaging about £2,900 per person, according to police data.
The North East Regional Organised Crime Unit, confronting these numerous fraud claims, has released a public caution. An in-depth look at Coscoin’s operational model, purportedly based in Washington, shows tactics that encourage participants to recruit more individuals, a hallmark of Ponzi or pyramid schemes.

Detective Inspector Paddy O’Keefe, leading the economic crime unit, conveyed his insights to the BBC. He underscored a fundamental rule in finance: if a deal seems too good to be true, it probably is. He also cautioned against new scams targeting previous victims with promises of recouping lost funds, urging the public to stay alert to avoid further fraudulent traps.

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