The threat posed by online scams has increased significantly in recent years.
There are now more ways than ever before to find yourself the victim of online fraud.
One of the more sophisticated examples is known as pig butchering.
Pig butchering is part romance scam and part investment scam.
It combines the fake relationship of the former with the fake promises of wealth associated with the latter.
For many victims, it is an expensive and painful process.
So what exactly is pig butchering, and how can you avoid falling victim to it?
What Is Pig Butchering?
Pig butchering is a sophisticated online scam that relieson social engineeringand fake cryptocurrency exchanges.
How Does Pig Butchering Work?
Pig butchering is an elaborate scam with many variations.
The perpetrator is invariably an attractive person of the opposite sex.
The photos and information used are entirely fake.
Initial interactions typically consist of ordinary conversations without any mention of an investment opportunity.
During this time, the perpetrator is attempting to build trust and/or attraction.
The success of the scam is largely based on the perpetrator’s ability to achieve these goals.
At some point, the conversation turns to cryptocurrency investment.
The perpetrator will claim to be a successful trader and will talk about their recent profits.
They are likely to share screenshots.
They will then casually offer to teach the victim how to make money in the same way.
The victim will then be able to watch as their initial investment increases in value.
This is easy for the perpetrator to achieve because the exchange being used is fake.
The fake exchanges are designed to be highly realistic, but the profits generated are nonexistent.
At this point, the victim is encouraged to invest a larger amount.
During the scam, the victim is usually allowed to withdraw small amounts.
This is to demonstrate that the exchange and trades are legitimate.
The victim typically only learns about the theft when they attempt to withdraw a larger amount.
This can only be achieved by making an additional deposit.
Why Is Pig Butchering Effective?
Pig butchering is effective because it combines two scams which are, themselves, effective.
Romance scams typically involve large amounts of trust being developed.
This trust is then the ideal tool to get past the skepticism that is often associated with investment scams.
The fake exchanges also contribute to the victim believing what they are being told.
Aside from the URL, they appear identical to legitimate exchanges.
Who Do Pig Butchering Scams Target?
Anyone can be targeted by a pig butchering scam.
The scam also occurs on a wide range of different websites.
Men tend to be targeted more often than women, but there are also a lot of female victims.
How Much Do Victims Lose to Pig Butchering Scams?
Pig butchering is a highly effective scam and many victims lose their entire savings.
While some scams involve a request for a specific amount, pig butchering has no set limit.
Unfortunately, this is often easier said than done.
It’s also important to understand that cryptocurrency transactions are both anonymous and irreversible.
Prior to depositing cryptocurrency anywhere, users should also Google the name of the exchange.
Like many online scams, the primary protection against it is to be aware that it happens.
If somebody understands the concept of fake cryptocurrency exchanges, they are no longer a potential victim.
