Crypto and email scams are scarily becoming more common in the digital age, and they are especially prevalent in Canada. In 2024, Canadians lost over $638 million to fraud. The Canadian Anti-Fraud Centre received 108,878 reports, and 34,621 of those reports were victims of fraud. The most common types of fraud reported were identity theft, service fraud, and investment fraud. These occurrences typically happened because the victim was unaware that they were being scammed. Attackers would pose as legitimate organizations and websites, requesting personal information from victims, including passwords, social insurance numbers, and banking details. The victim would disclose the information to the fraudster, resulting in financial loss.
Toronto-based financial planner Ed Rempel says staying educated and vigilant is key to protecting yourself from crypto and phishing scams. He recalls a client case that happened earlier this year involving crypto fraud. “I had a client who came to me after experiencing financial loss because she fell for a crypto scam, even though she is knowledgeable,” he says. “It just goes to show that you can never be too careful when it comes to protecting your financial assets.”
Rempel says scammers have become more sophisticated in how they operate, and this is what makes their tactics so effective. Professional-looking emails, realistic websites, and convincing language are all part of the playbook. Sometimes, scammers will use personal information found online, such as names, photos, or social media activity, to make their messages appear more genuine. These tactics often make it difficult for even tech-savvy people to immediately spot a scam.
Cryptocurrency scams are one of the most dangerous and fast-growing scams in Canada, and they frequently promise unrealistically high returns. “If someone promises you’ll double your money in a week, 99.9% of the time it’s a scam. Legitimate investments have risks, and no one can promise consistent, massive gains without risk. That’s not how real investing works.” He adds that these scams often create a fake sense of urgency, pressuring people to act quickly before they have time to think logically or ask for advice.
Rempel encourages Canadians to remain skeptical when approached with an unsolicited financial offer, especially those that involve urgency or secrecy. He advises that if you receive a random message claiming to be from your bank, the CRA, or an investment platform, the safest thing to do is to contact the institution directly using official contact details, and not the ones in the message. He also recommends securing online accounts with strong, unique passwords and turning on two-factor authentication wherever possible, especially for email, banking, and crypto apps. Signing up to have on-going monitoring of your credit rating by Equifax is also a good idea.
Education, he says, is a powerful tool for fighting fraud. Being aware of the latest scams, reading trusted financial news, and learning how to spot red flags can help prevent massive losses. For those unsure about whether an investment offer or a financial message is legit, consulting with a trusted, experienced financial planner can offer more protection. “Having a professional who is trained to spot red flags can make a huge difference.” Rempel examples.
While fraud is still on the rise in Canada, Rempel believes that awareness and proactive financial habits can significantly reduce the risk of being a victim. “Monitoring your finances and being aware of scams doesn’t make you paranoid. It’s about being smart and taking proactive steps to protect what you’ve worked so hard to build.”
