Binance has issued a warning to Filipino users about crypto scams that promise extreme returns and funnel victims into fake trading platforms. The company’s Manila press release said one recent pitch claimed a ₱50,000 deposit could turn into millions within three months, a hallmark of schemes aimed at new users entering Web3.
According to the advisory, the scam often relies on fabricated account dashboards, fake profits, and follow-up demands for so-called reactivation fees when victims try to withdraw. Binance framed the warning as part of a broader push for safer digital asset use as crypto adoption grows in the Philippines.
How the scam is presented
The example highlighted in the release starts with promises of unusually fast gains from cryptocurrency investing. Binance said scammers direct users to links or applications that appear to be trading platforms, where an initial deposit is converted into US dollars and shown alongside manufactured profit figures.
The company said some links are shortened or disguised, while others redirect users to messaging channels instead of legitimate exchanges. These details, it said, are warning signs that a service may not be authentic.
Frozen accounts and extra payments
The scheme changes once a victim attempts to cash out. Binance said scammers commonly freeze the account and claim the user must pay a “reactivation fee” before withdrawals can proceed, often asking for around ₱5,000 to ₱10,000.
In the version described by the company, the excuse may involve alleged hacking or supposed policy violations. After the extra payment is made, the scammers cut off contact, leaving the victim without access to either the promised gains or the original funds.
Binance also pointed to a related tactic in which fraudsters allow a small early payout to build trust, then pressure users to deposit larger sums before blocking access.
Why Binance says users should verify platforms
The company urged users to verify services before sending money and to avoid unauthorized platforms. It said traders should favor platforms that use checks such as Know Your Customer and Customer Due Diligence, arguing that these controls make it harder for bad actors to register and operate.
Binance also advised users to confirm transactions independently inside their own accounts or e-wallets before releasing tokens. It added that outsized return promises should be treated as a major red flag, stressing that crypto is not a guaranteed shortcut to quick wealth.
Broader risks and where to seek help
Beyond fake trading apps, the release warned new users to watch for localized phishing texts, fake customer service accounts, and so-called pig butchering schemes designed to compromise private keys. Binance said education, basic security habits, and compliance with local rules are essential as Web3 adoption expands.
The press release also cited wider crime data to argue that illegal activity is not unique to crypto, while noting that public blockchain ledgers can help trace transactions. For users who believe they may have been targeted, Binance pointed to platform support as well as Philippine authorities including the Philippine National Police hotline 117 and the Cybercrime Investigation and Coordinating Center hotline 1326 as confirmed channels for assistance.
As a next step, the company said users should review local laws and guidance, including memoranda from the SEC and BSP, before using digital asset services.
Source: bitpinas.com