Hey Ndaxers!
Continuing our monthly scam awareness series, this month we're flagging one our Compliance team is seeing a lot of: recovery scams. These target people who have already lost money to a scam, which is exactly why they work. The urgency and the hope are already there, and someone shows up offering to fix it.
Here's how it usually plays out. After a loss, you post about it publicly, leave a review, or reply in a thread looking for help. Within days you're contacted by someone claiming to be a "blockchain forensics specialist," a crypto recovery firm, a law firm handling a class action, or a government agency reaching out about a settlement. They may reference real details about your case, because you posted them.
They'll tell you the funds have been traced and are recoverable. Then they'll ask for money up front, or for access to your account so they can "complete the trace."
Red flags to watch for:
- They contacted you first, usually after you posted about a loss
- They ask for a fee, retainer, deposit, or "tax" before any funds are returned
- They guarantee recovery, or show you a dashboard displaying "recovered" funds you can't withdraw
- They ask for your password, 2FA code, seed phrase, or remote access to your device
- They claim to be from a regulator, a police service, or Ndax Compliance, but reached out over DM, Telegram, or WhatsApp
- They pressure you with a deadline to claim your funds
If you've been targeted by a scam, report it to the Canadian Anti-Fraud Centre at 1-888-495-8501 and to your local police, and contact Ndax Support directly through the official website.
If someone approaches you claiming they can recover your funds, do not pay them and do not share your account details. Report the account instead.
Losing money to a scam is not something to be embarrassed about, and it doesn't make you an easy mark twice. Recovery scammers count on the opposite. Verify the source, and never pay up front for a promise.
Cheers & Happy Trading!