Earlier, the FMA said that scammers are impersonating as FCA and CySEC representatives.
New Zealand’s financial market regulator said today (Tuesday) that it has received reports from people who were introduced to scam investments after unexpectedly receiving messages with invitations to join chat groups to discuss or learn about investing.
The Financial Markets Authority’s (FMA) revelation came as it warned about the widespread investment scam using multiple social media platforms.
“We have seen an increase in individuals being introduced to scam investments through unsolicited messages on social media chat platforms, such as WhatsApp, Telegram, Discord, Facebook/Messenger, Instagram, and Viber,” the FMA noted.
The regulator added that the fraudsters claim to be investment firms or bank employees, offering attractive investment opportunities.
Although the Kiwi regulator did not furnish any details on the types of fraudulent offerings, previous alerts by other agencies revealed that these investment opportunities are usually tied to cryptocurrencies or other high-risk investments such as forex. Fraudsters sometimes promise double-digit monthly returns, which are unrealistic.
“Be extremely cautious if you receive an unexpected message via a social media chat about any investment opportunity,” the FMA added. “This will usually be a scam. Even if the offer comes from the account of a person you know, their account may be compromised by a scammer.”
Last year, the FMA said that scammers were targeting Kiwis who had previously fallen for financial fraud by impersonating representatives of the UK’s Financial Conduct Authority. Another warning detailed how impersonators of the Cyprus regulator were targeting New Zealand residents.
In neighbouring Australia, scam losses surged to nearly AU$119 million in the first months of 2025, despite a drop in the number of scam reports. Investment fraud remains a major cause, accounting for more than half of the total losses.
The Australian regulator also issued similar warnings last December about the rise in suspected investment scams spread through social media advertisements. These scams lure individuals with investment opportunities and tips, often leading to their inclusion in WhatsApp groups.
Earlier, FinanceMagnates.com reported on how clone scams are widespread on social media platforms such as Telegram. A joint survey by FinanceMagnates.com and FXStreet also found that 60 per cent of financial instrument traders who fell victim to scams on Telegram lost money. Although regulators in the United Kingdom and Cyprus are aware of such scams on the platform, they admitted that stopping these activities is difficult.
Recently, Vietnam blocked access to Telegram for failing to cooperate with local authorities in addressing crimes committed on the messaging platform. Russia also prohibited financial institutions and government agencies from communicating using any foreign messaging platform, which directly impacted the customer support operations of local forex brokers.
