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Canadian regulators: Be wary of crypto scams that use fake news articles and use trade war fears to attract victims

On March 10, securities regulators in Alberta and New Brunswick, Canada warned that crypto scammers are using fake news articles and portraits of government figures to take advantage of trade war fears. The Alberta Securities Commission said in a March 7 alert that a crypto-investment scam called "CanCap" pretended to be an endorsement of then-Prime Minister Justin Trudeau by forging a news article from Canada's National Public Broadcasting Corporation (CBC). "False articles claim that the prime minister is responding to U.S. tariffs and supporting an investment plan involving digital currencies," the regulator said. The New Brunswick Provincial Financial and Consumer Services Commission also warned on March 5 that CanCap used fake news articles to claim that New Brunswick Governor Susan Holt supported the platform. The article also contained fake interviews and tampered photos between Holt and CBC. Regulators note that scammers are increasingly using current incidents to target the fears of potential victims and using artificial intelligence to forge endorsements and generate content to make scams appear legitimate. They added that scammers can quickly change the name and appearance of the plan, already using names such as "CanCentra" and "Immediate Flectinium" and linking it to at least six other websites with different domain names.

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