Australia Warns Criminals Are Abusing National Cybercrime Platform to Drain Crypto Wallets

Fraudsters are weaponizing Australia’s national cybercrime reporting system to impersonate federal police and drain crypto wallets, authorities warned Wednesday.

False reports are being filed through ReportCyber, the government’s official platform for reporting cybercrimes, using stolen personal information, then calling victims while masquerading as AFP officers to steal digital assets, according to the Australian Federal Police statement.

The scam appears convincing because criminals “verify personal information in ways that match common expectations” and act fast “to create a sense of urgency,” AFP Detective Superintendent Marie Andersson said in the statement.

Cybercriminals have illicitly obtained personal details, including email addresses and phone numbers, to submit fraudulent reports through the platform, according to the AFP-led Joint Policing Cybercrime Coordination Centre.

The AFP says the system permits third-party reporting on behalf of victims, a feature the scammers exploit to establish credibility.

Decrypt has reached out to the AFP for further comments. 

How the scam operates

The police detailed in its statement how one of these particular scams operated.

One of the victims was reportedly called by someone posing as an AFP officer, told their name appeared in a crypto-related data breach, and given an official-looking ReportCyber reference number, the AFP said. 

When the victim saw the matching report filed by the scammer, the scheme appeared credible. A second caller, posing as a crypto platform, used the same reference number to push a transfer to a fake cold storage wallet.

The victim became suspicious and hung up before transferring any money. Police said similar cases use spoofed phone numbers to mimic real AFP lines. 

Andersson urged vigilance, saying Australians should “check for warning signs, and protect themselves.”

Authorities stressed that genuine officers will never request access to crypto accounts, seed phrases, or banking information. 

Anyone contacted about a ReportCyber submission they didn’t make should hang up and call 1300 CYBER1, Andersson said, noting how legitimate reports remain vital for helping police “track criminals and prevent others from being targeted.”

Enforcement against crypto scams

The warning arrives as Australian regulators strengthen their campaign against crypto-related fraud on multiple fronts.

Last month, Home Affairs Minister Tony Burke announced pending legislation to regulate crypto ATMs, labeling the machines a “high-risk product” linked to money laundering and child exploitation. 

In August, the Australian Securities and Investments Commission reported taking down roughly 3,015 crypto scam websites over two years, part of 14,000 total fraudulent sites removed. 

Meanwhile, the financial intelligence agency AUSTRAC’s CEO, Brendan Thomas, flagged digital currencies as a top threat in July, describing new anti-money laundering regulations as “the most ambitious overhaul of Australia’s anti-money laundering laws in a generation.”