A novel form of cryptocurrency deception is currently unfolding within the Indian crypto investment community, where malevolent actors are assuming the guise of job recruiters to deceive unsuspecting candidates, ultimately becoming victims of their schemes.

In a recent incident, Naved Alam, a 22-year-old individual residing in Pune, India, found himself at a loss of INR 2.5 lakhs (roughly $3000) from his crypto assets after an encounter with potential employers turned sour.

Taking to an online platform, Alam shared his harrowing experience on March 31, expressing his intent to shed light on the ordeal to prevent others from falling prey to similar scams.

According to Alam's account, an individual using the moniker 'crankybugatti' reached out to him with an enticing job opportunity in his field of expertise as a product designer.

This opportunity was purportedly linked to the development of a web3 communication application named 'SocialSpectra.' Subsequently, Alam was directed to continue communication through a Discord channel, which initially appeared innocuous.

However, the situation took a sinister turn when the fraudulent recruiters, impressed by Alam's credentials, proceeded to schedule an HR interview. Alam received a call from a supposed "HR" who provided him with an onboarding link. To Alam's dismay, this link was a conduit for malicious software disguised as an international communication application.

The malware swiftly siphoned funds from Alam's Phantom wallet and liquidated his staked assets on the Solana-based defi platform Kamino Finance, resulting in a substantial financial loss.

Expressing his frustration and cautionary advice, Alam emphasized the rapidity with which he fell victim to the scam, losing a significant sum to unscrupulous individuals posing as legitimate employers.

In a bid to rectify the situation, Alam attempted to contact 'crankybugatti' and request the return of his funds. However, the fraudster denied involvement and offered dubious assurances of resolution through a purported cybercrime security contact, a claim Alam remains skeptical about.

At the time of reporting, the fraudulent individual's account on the platform had been suspended, indicating a swift response from platform administrators.

The incident coincides with heightened regulatory scrutiny in India concerning cryptocurrency-related activities. Just last month, India's Enforcement Directorate (ED) took legal action against 299 entities under anti-money laundering laws following reports of investors falling victim to fraudulent schemes promising lucrative returns on crypto mining ventures.

Moreover, on an international scale, recent actions by South Korean authorities resulted in the dismantling of a similar scam, which defrauded victims of over $4.1 million. Allegations against the perpetrators involved false promises of substantial profits from cryptocurrency investments, highlighting the pervasive nature of such fraudulent activities globally.