Medical Specialist Loses RM529,200 in Fake Crypto Investment Scheme

A Malaysian medical specialist has lost more than RM529,200 ($112,000) after falling victim to a cryptocurrency investment scam that police say never existed, highlighting the continued rise of social-media-driven fraud schemes.

According to local media, the incident was reported on January 2 to the Ipoh District Police by a 67-year-old man, a medical specialist based in Perak.

TikTok link sparked initial losses

Perak Police Chief Datuk Noor Hisam Nordin said preliminary investigations show the victim was first approached in September 2025, after receiving an investment link from an acquaintance on TikTok.

Trusting the explanation provided, the victim made multiple transfers totaling RM320,000 into bank accounts registered under various company names. The promised profits never materialized, and withdrawal requests failed.

Secondary scam worsened losses

Seeking to recover his money, the victim later came across a Facebook page calling itself “International Justice Malaysia,” which claimed it could recover lost funds. Police said the victim was then contacted by a man posing as a lawyer, who demanded additional payments just to “start” the recovery.

These follow-up transfers resulted in an additional RM209,200 in losses, bringing the total to RM529,200. The victim later became suspicious and lodged a police report.

The case is currently being investigated under Section 420 of the Penal Code, which covers cheating and fraud.

A broader pattern of crypto fraud

Authorities say the case reflects a common pattern: fake investments followed by fake “recovery” services, turning one scam into two and draining victims a second time.

Similar schemes have been reported internationally. Recently, blockchain investigator ZachXBT said users lost over $2 million to scammers impersonating Coinbase customer support, using social engineering and fake communications to drain funds.

Police say the warning signs are well known but still ignored: unsolicited investment links, promises of easy returns, and so-called “recovery services” that ask for upfront fees. With scams now spreading through social media and messaging apps, authorities are urging the public to slow down, verify claims, and stick to official channels before sending a single cent.

Also read: Why Grok AI thinks Solana is a Scam Cryptocurrency?