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FBI cautions against surge in bitcoin-based extortion attempts via email

In a recently issued public alert, the FBI’s Internet Crime Complaint Center (IC3) has warned people against rising extortion attempts via email, where the perpetrators ask for the ransom in digital currency bitcoin.

The FBI said that the IC3 continues to receive such reports from individuals who have become victims of recent high-profile data breaches. They receive email that states their personal information, such as their name, phone number, address, credit card information, and other personal details, will be released to their social media contacts, family, and friends if a ransom is not paid.

“Fraudsters quickly use the news release of a high-profile data breach to initiate an extortion campaign. The FBI suspects multiple individuals are involved in these extortion campaigns based on variations in the extortion emails”, the notice reads.

The extortionist instructs these individuals to pay the ransom in Bitcoin, a virtual currency that provides a high degree of anonymity to the transactions, and that too within a short time. The ransom amount usually ranges from 2 to 5 bitcoins (or approximately $1000 to $2500 according to current exchange rate).

The FBI advises people not to open e-mail or attachments from unknown individuals; to monitor their bank account statements regularly, as well and as their credit report at least once a year for any fraudulent activity. It also asks people to refrain from storing sensitive or embarrassing photos online or on mobile devices, as well as providing any personal information via email.

“When providing personally identifiable information, credit card information, or other sensitive information to a website, ensure the transmission is secure by verifying the URL prefix includes https, or the status bar displays a “lock” icon”, it added.

In addition, the FBI recommends using strong and dissimilar passwords for different websites and ensuring high-level security setting for social media accounts are turned on. It also urges people not to engage in any sort of communication with the subject.

“The FBI does not condone the payment of extortion demands as the funds will facilitate continued criminal activity, including potential organized crime activity and associated violent crimes”, it added.

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