BlackRock, the world's largest asset manager, has warned investors to be wary of scams targeting its spot Bitcoin and Ethereum ETFs.
BlackRock, which manages $10.6 trillion in assets, stated that fraudsters are using the BlackRock name to deceive potential investors.
The company said scam incidents have increased as the recent launch of spot Ethereum ETFs has increased investor interest in crypto.
“There has been a sudden increase in investment-related scams, including redirecting users to crypto investment-related websites and/or social media platforms such as WhatsApp or Telegram.
We encourage you to be cautious when dealing with individuals, websites or social media platforms that use our brand or offer education or investments.
“BlackRock and our firm's executives do not contact anyone through any social media platforms (including WhatsApp and Telegram) with investment offers or payment requests of any kind.”
The warning from BlackRock comes at a critical time when interest in new Ethereum ETFs, as well as spot Bitcoin ETFs, is increasing. This increased interest has made the ETF issuer a prime target for fraudsters aiming to exploit its growing interest in crypto investments.
*This is not investment advice.