US lawmakers ask Mark Zuckerberg to address ‘breeding ground’ for crypto scams: report

A group of Democrats from the United States Senate has reportedly asked Meta CEO Mark Zuckerberg to provide details on the social media giant’s policies regarding cryptocurrency fraud.

According to a report from the Washington Post on Friday, Senators Robert Mendez, Shrod Brown, Elizabeth Warren, Dianne Feinstein, Bernie Sanders and Cory Booker have asked Zuckerberg about the steps the company takes to detect, cooperate with law enforcement and execute crypto fraud. Helping victims of fraud. Meta currently controls Facebook, WhatsApp, Messenger and Instagram.

“Based on recent reports of fraud on other social media platforms and applications, we are concerned that Meta will provide a breeding ground for cryptocurrency fraud that will cause significant damage to consumers,” said the report senators group.

The lawmakers cited a Federal Trade Commission report from June that called social media and crypto “a combustible combination for fraud.” In the year About half of the $1 billion crypto-related scams in 2021 – most of them focused on investments – will originate from social media platforms, according to the commission.

“Almost four out of ten dollars in reported fraud from social media is lost in crypto, more than any other payment method. The main platforms mentioned in these reports are Instagram (32%), Facebook (26%), WhatsApp (9%) and Telegram (7%). they are.

In addition, Democratic senators have called for Meta to provide warnings about potential fraud in languages ​​other than English. According to Meta spokesperson Andy Stone, the social media company has invested significant resources in detecting and preventing fraud. The lawmakers have until October 24 to respond to Zuckerberg’s detailed information.

Related: 4 Smart Crypto Scams to Beware – Dubai OTC Trader Amin Rad

The US Federal Bureau of Investigation similarly targeted crypto scams in a July announcement, warning the public about apps that use similar logos and misidentify information as scams from legitimate companies. Many unsuspecting users have fallen victim to scams through hacked Twitter and YouTube accounts, copycat websites and fake crypto projects and airdrops.