A scam ring known as CryptosLabs has recently come to light, with cybersecurity researchers uncovering its operations that have amassed an estimated €480 million in illegal profits. Since April 2018, the syndicate has specifically targeted French-speaking individuals in France, Belgium, and Luxembourg. The scam involves impersonating prominent banks, fin-techs, asset management firms, and crypto platforms, utilizing a vast scam infrastructure comprising over 350 domains hosted on more than 80 servers.
Identifying the culprits cehind CryptosLabs is described as an organized criminal outfit, operating with a hierarchical structure that includes kingpins, sales agents, developers, and call center operators. The group strategically hires French-speaking personnel as “managers” to enhance the credibility of their scam schemes. They employ various region-focused tactics, such as creating fake landing pages, social media ads, documents, and investment platforms in French, as well as impersonating French-dominant businesses to exploit their target audience effectively.
Objectives of the Scammers
The primary objective of CryptosLabs is to deceive investors by promising high returns on their capital. The scam begins by luring targets through advertisements on social media, search engines, and investment forums, presenting them with enticing investment plans. Call center operators then provide additional information about the fraudulent platform and guide victims through the trading process. Victims are encouraged to deposit funds and shown fictitious performance charts, leading them to invest more. However, when attempting to withdraw funds, victims discover that they are unable to do so without paying exorbitant “release fees.”
Responding to the CryptosLabs Scam
Group-IB, the cybersecurity firm that exposed the CryptosLabs scam, has been tracing the group’s activities since 2015. The scam operation gained momentum in June 2018, employing a custom scam kit that enables the threat actors to run, manage, and scale their activities efficiently. This kit includes tools for creating landing pages, a customer relationship management service, a leads control panel, and a real-time communication utility. Group-IB warns that CryptosLabs has established a well-structured operation and is likely to expand its illicit business further. Efforts must be made to raise awareness, enhance regulatory measures, and employ robust cybersecurity measures to protect potential victims from falling prey to such scams.
