Ohio Man Loses $42,000 to Online Crypto Scam

JOHNSTOWN, Ohio — John Guthman lost $42,000 in mere weeks to an online crypto investment scam, according to a recent report from the Better Business Bureau (BBB). The organization noted that many individuals, particularly those aged 18 to 34, are increasingly falling victim to employment-related scams, but crypto-related scams remain the most hazardous.

Guthman’s ordeal began after he connected with a woman on Facebook, who convinced him of her credibility and the potential growth of her crypto business. “I didn’t take good protection over myself,” he said, reflecting on the momentous trust he placed in an online stranger.

Initially, Guthman invested $1,000, believing he was following sound advice. “So within about three weeks, she convinced me to start with $1,000,” he explained. As their interaction progressed, the woman would send him fabricated evidence of his investment’s success, including pictures that suggested substantial returns.

However, when Guthman realized the truth behind the facade, he had already succumbed to the scammer’s deceit. “By the time I put the pieces together, I had already lost everything: over $40,000, my bank information, and even my social security number,” he said. “From that point on, I never got the money back.”

According to Judy Dollison, president of BBB of Central Ohio, such scams that flourish through online relationships are becoming alarmingly common in the region. “They’re spending weeks to months really courting their victim,” Dollison noted, indicating a meticulous approach scammers use to secure trust before perpetrating their crimes.

The BBB’s 2024 Scam Tracker Risk Report found that while the overall susceptibility to scams has decreased from last year, the median monetary loss from scams has surged by 30%. “We’re definitely seeing the greater opportunity to lose more money,” Dollison commented.

In light of his troubling experience, Guthman expressed a desire to prevent others from falling into similar traps. He has faced ongoing challenges, including unexpected medical charges and fraudulent credit card applications. “I’m getting notices where somebody’s applying for a credit card,” he lamented. “I got two within the last two weeks. I’m just really, really suffering.”

The BBB advises anyone who has fallen victim to a scam to report it. Their data reveals that over 57% of scams reported in 2024 originate from Facebook. The report also highlighted that individuals aged 65 and up have reported the highest median loss at $160, closely followed by those aged 18 to 24 at $150.

Among crypto scams specifically, the reported median loss stands at $5,000, with 26% of victims indicating that the scammer spent time establishing a relationship before exploiting them for money.