MEMPHIS, Tenn. — A sufferer of an $80,000 cryptocurrency rip-off sat with WREG to share his story and warn others.

Ricky Smith stated he doesn’t need anybody else to undergo what he’s experiencing.

“Individuals watch out, please,” he stated. “I’m in a horrible state of affairs now as a result of I’ve no different property at this level. That was life financial savings.”

The 58-year-old stated he’s out $80,000 after he began investing in cryptocurrency. It started again in Might when he communicated with somebody on Fb. He additionally communicated with somebody on WhatsApp the place a girl linked him to the crypto funding.

Smith initially thought it appeared legit, however he now believes he was led to a bogus web site.

“So I made a decision to attempt it,” he stated. “I stated, ‘Okay I’ll attempt it simply to check the water’ and I’ll put $500 in there at first and see what occurs, you already know? And once I put $500 in there, there was a acquire, and I used to be capable of get it out. However the extra I saved placing in and I used to be gaining, I didn’t actually simply take it proper again out.”

He was inspired to maintain the account rising and put increasingly cash within the account.

“And earlier than you already know it, once I tried to take it down, they stated, ‘maintain up, you must pay taxes on this cash,” Smith stated.

Even after paying a number of tens of hundreds, he was nonetheless instructed he wanted to pay $48,000 to be a VIP member.

“I knew I used to be bought at that time,” Smith stated.

Daniel Irwin with the Higher Enterprise Bureau of the Mid-South stated crypto scams are sometimes associated to investments. He stated somebody promising you an enormous return ought to be a crimson flag.

“Crypto scams are shortly changing into one of many greatest scams we see,” Irwin stated. “There’s nothing low threat about investments on the whole, particularly cryptocurrency investments.”

Smith has now began the lengthy course of to attempt to get a few of his a reimbursement.

“Scamming is actually actual out right here, and I’m one of many prime examples of why I need to get this message out so no on else might be damage or get mistreated on this means,” he stated.

Smith has filed a police report and contacted federal companies.

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