An investigation into the victim of an NFT scam led the Brooklyn District Attorney’s Virtual Currency Unit to discover and dismantle a network of fake NFT marketplace sites.
Brooklyn’s District Attorney said his office has shut down 40 fraudulent non-fungible token (NFT) marketplace websites after an 85-year-old artist was conned out of $135,000 by a scammer.
The victim was contacted on LinkedIn by someone posing as an art dealer who convinced him to mint his artwork on a fake NFT marketplace resembling the New York-based OpenSea, the Brooklyn District Attorney’s Office said on Dec. 6.
He was later told he made $300,000 in profits — but in order to access it, he had to send a $135,000 “fee,” which he sourced from fully liquidating his retirement account, credit card payments and a loan.
