Quick Breakdown
- A 71-year-old retiree in Kuala Terengganu lost RM525,000 to a crypto scam promoted via Facebook.
- The victim made seven transfers after being promised $500,000 in returns.
- Malaysian authorities are tightening regulations on digital assets to curb scams and illegal activities.
Police in Malaysia are investigating a cryptocurrency scam in which a 71-year-old retiree was swindled out of RM525,000 after being lured by an online investment scheme.
According to a September 29 report by Malaysiakini, the incident occurred in Kuala Terengganu after the victim came across a fraudulent advertisement on Facebook. The ad, designed to appear legitimate, promised extraordinary profits and directed the retiree to invest.
Retiree loses over RM500k to crypto scam syndicate https://t.co/nAuclxjpTY
— malaysiakini.com (@malaysiakini) September 29, 2025
How the scam unfolded
District police chief Azli Noor revealed that the victim was persuaded to transfer funds on seven separate occasions between August 20 and 27. The suspect’s account reportedly received the victim’s entire retirement savings, with promises of a $500,000 payout in return.
As of now, no arrests have been made. Authorities suspect the scheme was orchestrated by a wider criminal syndicate.
Facebook ads: a growing tool for scammers
Fraudulent Facebook promotions have increasingly been exploited to mislead potential investors. Such ads often use fabricated celebrity endorsements or claim ties to major crypto projects, tricking unsuspecting victims into sending money to fake exchanges or platforms.
Earlier this year, Malaysian police warned that senior citizens were particularly vulnerable, as scammers impersonated regulators, banks, or even law enforcement to gain their trust.
Technology aiding sophisticated fraud
Bukit Aman Commercial Crime Investigation Department Director Datuk Seri Ramli Mohamed Yoosuf previously cautioned that criminals are now leveraging AI-generated voices and deepfake visuals to stage convincing impersonations. These tools have made fraud harder to detect until victims have already suffered heavy financial losses.
Wider crypto crime concerns in Malaysia
Beyond scams targeting investors, Malaysia has faced a surge in illegal cryptocurrency mining operations. Authorities have carried out multiple raids on setups powered by stolen electricity and unlicensed equipment.
Despite these challenges, Malaysia continues to embrace digital assets. The Securities Commission recently issued a consultation paper aimed at tightening licensing rules and boosting investor protections within the sector.
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