Pig Butchering Scam

In recent times, the percentage of online fraud has increased. Therefore, it becomes crucial to understand the Pig Butchering Scam. From the idea of fattening a pig before slaughter the name of this scam has come. Hence, scammers convince people to invest more money in cryptocurrency. They try to act like it is a genuine chance for people. While such scams are spread throughout the world, these can result in big financial losses for victims. Once people invest their money, scammers will disappear after collecting it. Let's dig into the article to learn more about Pig-butchering Scam.

What is a Pig-butchering Scam?

A pig butchering scam is an investment fraud where scammers ask people to invest their money in profitable ventures. Usually, they give promises to provide high investment returns within a few months or a short period. They use fake images along with investment portfolios that are false. With the help of these, scammers try to convince victims to prove that their scheme is legal. As soon as victims believe this and invest a huge amount of money, after taking the money, scammers will disappear. As a victim, you were incapable of recovering your invested money.

This term comes from the idea that victims are fattened up with the promise of huge returns before "slaughtering" them for their money.

In this scam, a random person starts a normal conversation. Scammers could get a number of victims from a mutual friend. Sometimes, they act like they are unsure if they have the correct number. In this way, scammers try to engage the targeted person in conversation. In order to lure people, they use pictures of attractive women. In this way, scammers try to showcase their desire for romance to create trust so that they can set up a connection.

How the Pig-butchering Scam Works:

Like other investment frauds, this type of scan follows some steps using which scammers manipulate and deceive victims. They talk with victims about getting huge returns on their investments within a short period. Now, let's see how the pig butchering scam works.

• Gaining a Victim’s Trust:

Scammers first try to act like seasoned investors or experienced professionals. Their aim is to gain the victim's trust. Scammers use online forums or social media platforms through which they keep themselves engaged with potential victims. Thus, they create trust in the people to achieve financial success. Besides, they add a layer of companionship to this scam. In this way, they are able to exploit victims' need for companionship for financial success.

• Pitching the Investment:

As soon as scammers are able to gain the trust of people, they promise a great opportunity to get successful returns and reliable investments. It includes stocks, cryptocurrencies, or other financial instruments. While they use persuasive language, sometimes they ask people and try to convince them by saying that they need to invest money very urgently.

• Collecting Money:

Once scammers succeed in persuading the victim, they will collect the invested money of those people. In order to make tracking harder for victims and other people, scammers often use cryptocurrencies or digital payment platforms.

• Disappearing Completely:

When scammers have got the target amount from the victims, they will disappear. Therefore, people do not find them when they try to withdraw their money. Scammers generate new identities or delete the online existence. Therefore, it becomes challenging for victims to recover the amount they have invested.

Every step takes the victims into the web of lies of the scammers. Victims cannot identify the scam as they are emotionally invested also. So, they also could not be able to remove themselves from the situation.

How was the Pig Butchering Scam Carried Out?

• In this scan, the “host" attempts to make contact with people via social media, dating apps, or deceptive messages.
• After finding the target, called the “pig," the host tries to set up a friendship with the people so that they can encourage victims to explore cryptocurrency trading.
• The host uses a fraudulent trading application to deceive the victim so that they believe they could gain profits from fabricated trades.
• The more the trust of the victim grows, the host tries to persuade them to invest more money. This idea is called “fattening the pig" before the reveal of the scam.
• As soon as victims try to withdraw their money, substantial fees are imposed by the fake platform. Because of the nature of blockchain transactions, it is quite impossible to retrieve lost funds.

Warning Signs of Pig Butchering Scams:

These are some warning signs of these scams:

• You get “wrong number” texts
• Someone asks you to download a "special" crypto trading
• A match starts “love bombing” you on a dating platform
• A friend asks you to invest money in exchange for a crypto
• An online friend suddenly starts talking about crypto
• Investment sites give tiers with at least investment amounts
• The scammer begins trading with you
• In order to gain trust, scammers use emotional manipulation
• You get a quick and small return on your initial investment

Emerging Tactics— Group Chats And Social Engineering:

Nowadays, the emergence of modern tactics becomes more apparent because pig butchering scammers are adapting as well as refining their ideas continuously. They engaged victims earlier via one-on-one chat messaging. But currently, scammers are seen using group chats, which let them, cast a broader net. Also, in this way, scammers are capable of identifying potential victims with greater efficiency.

Creating Authenticity through Group Chat Interactions:

Scammers are often found sharing photos within the group chat as proof of their regular activities. It helps them to increase their credibility. Images highlighting their alleged earnings are also shared with the members of the group. They want to prove their success from their investments. Thus, they are capable of creating an illusion that everything happening in the group chat is real. So, it becomes challenging for potential victims to guess whether the investment is legal or not. It preys on the psychological phenomenon called social proof. Hence, people trust others' actions and follow them also when they see other people getting success in the group.

The Group Chat Strategy:

Scammers add many people to the groups centred around investment discussions. Thus, they can get the attention of the targets.  When the remaining people take an interest in investment, scammers make those people prime candidates for the scam. If someone leaves the group, they might know about the scam or are not taking any interest in investing. It prevents those people from being persuaded by the strategies of the scammers.

In the group, there are several people with different roles. Scammers have generated fake profiles of the chat group members in order to make this group more authentic. In this way, scammers can especially focus on those people who are likely to be more susceptible to their fraudulent schemes. Besides, it creates a situation where social validation is promoted. The reason is that potential victims watch others in the group discussing investment and not calling it out as a scam.

Suspect a Scammer is Luring You in— What To Do?

• Break Off All Contact With The Scammer:

If you are the victim, you need to instantly stop every communication you have made previously across apps, social media, text and email. Ensure that you are not saying goodbye or sending any explanation. You definitely do not want to arouse their suspicions.

• Block And Report Their Account:

In order to add credibility to such a type of scheme, scammers often use many digital "friends" of the host. Ensure that you are reporting each profile that is involved in the scam.

• Change All Your Passwords And Login Credentials:

Suppose you have shared your account number or access codes for cryptocurrency accounts or online platforms. In that case, you have to generate new passwords which are not simple to hack.

• File A Complaint With The FBI’s Internet Crime Complaint Center (IC3):

It lets you add particular details. Also, you can add supporting documents such as screenshots of email, text, and WhatsApp conversations.

• File A Police Report:

You should give all details of the fraud to inform the law enforcement office in your local area. Also you are able to ask them in order to contact the crypto exchange.

• Monitor Your Online And Financial Accounts For Signs Of Fraud:

In order to spot any unknown transaction, you must look into all the credit reports, bank accounts, and credit card statements.

How To Protect Yourself From Pig Butchering Scams:

These are a few things you need to do to stay safe:

• You must not provide your private information to those you have met online only. Ensure that you are not giving your bank credentials or Social Security number (SSN).

• If you haven't seen the person in real life or do not know them personally, you should not send cryptocurrency or money.

• You should not add yourself to any investment site. Besides, you should not download an app because of someone whom you have met online. Remember that this app may deceive you despite seeming real. Scammers may control the app to impress you by saying that you are gaining profits.

• Nothing is like "guaranteed returns." So, you should not believe any site or someone who promises you to give returns. Or don't trust any site that requests you to invest minimum amounts.

• If you are unaware of the working process of crypto currency properly, you should not invest. Hence, it is better to take guidance from a person so that you can use the platform.

• You need to be aware of the popular scams that are related to any app, exchange, or investment platform before being involved.

The Bottom Line:

The most effective thing you should now do is to remain proactive about your digital security. In addition, it is essential to be updated on the latest scams. Also, you need to monitor your credit. When many people get to know about these scams, scammers will succeed less.

Frequently Asked Questions

1. What is the pig-fattening romance scam?

In this type of scam, scammers flirt with victims to gain their trust.

2. What is pig butchering in AML?

Social engineering tactics are used by fraudsters in order to trick people in a way that they invest most of their money before knowing that the investment is a fraud.

3. How do you protect yourself from pig butchering?

These are the tips you should follow to protect yourself:

• You must not send money to someone you have met online only.
• Ensure that you are not talking about your investment or financial position to anyone.

Money Mule Scam

Scammers basically try to use you for stealing money. So, it is essential that you are not helping them. If you do so, you will be called a money mule.

Money Mule Scam can happen in different ways. It can be related to online dating, work-at-home jobs, or prizes. Scammers sometimes pay people by check. After that, scammers ask them to send some of this to another person. They want people to use gift cards or wire transfers. Obviously, they will not tell you that the money is stolen. They will lie about the reason for sending it. Remember that it is only a scam, not a relationship, job, or prize.

What is a money mule?

A money mule indicates a person who is responsible for receiving and moving money that is coming from victims. While a few money mules know that they are assisting in criminal activity, a few money mules don't know that their activities are helping fraudsters. Suppose, a person whom you don't know sends you money. Then he or she asks you to forward or transfer the money. Then you are fueling the fraud and serving as a money mule.

How does money mule scam work?

Money mules come from online job sites, dating sites, social networking sites, online classifieds, and Dark Web Forums. Once a criminal recruiter gains your trust or the victim whose money is acquired, they entice you by offering jobs or setting up a fake relationship. Their task is to convince you to open a new bank account or any existing personal account to receive money sent by criminals. After that, criminals send money to the account where the money will be deposited. They give exact details related to the fund transfer. Sometimes they tell you to withdraw money as cash, use it to purchase a gift card, or convert it to virtual currency, such as Bitcoin.

What Are the Consequences?

Money mule scams can affect your financial future, resulting in incarceration. Money mules can charge the following:

• Mail fraud 
• Wire fraud 
• Bank fraud 
• Money laundering 
• Aggravated identity theft

Engaging in these activities can allow criminals to steal your personal information and use these illegally. If someone is caught acting as a money mule, they must repay the acquired money. It can also result in frozen assets, damage to the credit score, etc.

Who is at Risk?

Usually, the target of criminals is students who are searching for work or those who are on dating websites.

What Are the Signs?

These are the signs:

Work-from-Home Job Opportunities:

• You receive an unsolicited email that offers easy money without any effort. 
• Unknown people tell you to open a bank account online in your name. 
• Being an employee, you are said to get the money in your bank account. 
• There is no particular job description for your duties.

Dating & Social Media Sites:-

• Online contacts or someone you never met tells you to receive money & forward the funds to others.

Protect Yourself:-

• Search on the web to check if the job offering company is legal. 
• Never go with any job offer asking you to transfer money from your bank account. Legitimate companies never tell you to do this. 
• Be aware if someone on the internet wants to use your bank account to receive money. 
• Ensure that you don't give your financial details to those people who are unknown (mainly to online strangers).

How to avoid it?

These are some tips that you need to follow to prevent yourself from being a money mule:

• You must not agree to send money to someone whom you don't know or receive it. 
• Never take those jobs offering money easily. 
• Never open a bank account or cryptocurrency account based on another's direction. 
• Despite receiving money first, you should not send money to any online love interest. 
• Never spend money on getting a prize. 
• You must not open any links in emails sent from an untrusted source. 
• Banks don't call people or send SMS to get personal details such as Account Details, Passwords, or OTP. 
• Never share the Net Banking credentials with others.

What to do if you find yourself involved in a money mule scam?

When you transfer money on behalf of others, criminals can get huge advantages, even you can lose money or be put in Jail. If you find yourself involved in a money mule scam, you can do these things following:

• You should not communicate with those asking you to move money or property. 
• Inform your financial institution and ask them to change accounts. 
• You need to report it to local law enforcement and at reportfraud.ftc.gov. 
• International crime networks use money mules to steal money from businesses. That's why people like you must stay alert and notice the warning signs.

Conclusion:

During the COVID pandemic, the online bank scams increased in the United States. So, you need to be informed and protect your personal information. You should not share your bank accounts with online acquaintances.

Frequently Asked Questions:

Q. How does a money mule scam work?

When a money mule transfers acquired money illegally on behalf of others, it is called a money mule scam.

Q. What is a money mule romance scam?

It is a scam where vulnerable adults receive money from unknown people or those who have gained their trust.

Q. Can a money mule go to jail?

If any money mule is caught moving stolen funds, they will be put into jail, even for this crime, they can get a 14 years prison sentence.

Money - Oil Prices Drop on Dollar, Oversupply

Oil Prices down – 3%

Oil price fell by nearly 3 percent recently as traders as well as investors disregarded a fifth straight weekly decline in U.S. crude stock piles and instead focused on big build in distillates which included diesel since the peak season for U.S. road travel gets under way. Core Gulf members of the Organization of the Petroleum Exporting Countries that pumps over a third of the world’s oil intend to have a consensus in maintaining the group’s oil output at the meeting held on Friday.

According to a senior Gulf OPEC sources has informed to Reuters. OPEC delegates informed Reuters in Vienna that `there is consensus among Gulf OPEC countries and others, to keep the –production, ceiling unchanged. Nobody wants to rock the boat.

The meeting is expected to be smooth sailing’. Dollar had gained about 0.4% against a few other currencies since the euro slipped, thus making fuel much more expensive to other currencies holder. Benchmark Brent crude oil for the month of July dropped $1.75 to a low of $63.74 prior to recovering a bit to around $63.90, down to about 2.5%, by 1010 GMT U.S. crude was $1.40 or 2.25% for $59.86 a barrel.

Analyst Gene McGillian – Market Down After Pairing Losses 

Brent had collapsed last year to almost $45 for a barrel in January from $115 last June pressing several oil producers in countries outside OPEC which included U.S. shale drillers as well. OPEC which pumps over a third of the world’s oil is likely to reject any calls for output cuts intending to produce around 2 million barrels per day beyond demand.

Crude stocks at Cushing, Oklahoma, delivery hub for U.S. oil fell also together with gasoline stocks. However distillate stockpiles including diesel and heating oil rose by 3.8 million barrels, which is four times the 1.1 million barrel build prediction.

According to analyst Gene McGillian of Tradition energy in Stamford, Connecticut, comments, `that he thinks the market came back down after pairing losses at first is telling of the sentiment that people don’t really think this is a very bullish report’. He is of the belief that consistent draws for gasoline and distillates would be an indication of demand. He added. `If not with refinery runs of above 93%, we could end up with a glut of refined products in storage rather than crude now’.

Future Seems Positive

Carsten Fritsch, analyst of Frankfurt based Commerzbank tends to agree stating that `a market that does not rally on falling inventories and a slumping U.S. dollar looks vulnerable to the downside’. Ali al-Naimi. Saudi Arabian Oil Minister stated in a conference organised by OPEC in Vienna recently that the group was `currently meeting global demand and does not see this changing.

In terms of the long-term energy outlook, the future looks very positive’, he added. OPEC, by pumping 2 million barrels per day which is more than needed is helping in filling oil inventories across the world and is keeping the price of oil for delivery now at a discount for future prices.

Some of the analysts are of the opinion that there seems to be a chance OPEC could increase its target on production soon. Barclay is said to have stated in a preview note of a recent meeting that `with heightened geopolitical risk threatening oil supplies in the Middle East and North Africa, it is highly unlikely that OPEC will reduce the quote, but an increase is possible’.

Dodd-Frank: many consequences extraterritorial

This is easily understood is stated clearly and concisely. This is not the case of Dodd-Frank Wall Street Reform and Consumer Protection Act, enacted by President Obama July 21, 2010.

Along more than 2300 pages, the text aims to be a major reform of U.S. financial markets right - just like those that followed the 1929 crisis - by addressing all the issues identified in the United States during the financial crisis:

The NSFR, real questioning of the role of the bank?

In February 2011, Patrick Artus, chief economist at Natixis, took issue with the current definition of NSFR ("Net Stable Funding Ratio") by calling it "absurd ratio."

It is also far from being alone in the challenge. Indeed, while this ratio is designed to ensure stable liquidity of financial institutions, number of players in the banking question its "calibration" current, likely in the traditional role of processing devoted to banks.

Panorama of the Luxembourg banking

Since World War II, the Grand Duchy of Luxembourg has become one of the richest countries of the world in terms of per capita GDP, supported by a financial services sector booming, political stability and European integration .

The Luxembourg banking sector in figures

Luxembourg's financial sector, the largest contributor to the Luxembourg economy (one quarter of its GDP), plays a major role as an international financial center. Taking advantage of a favorable tax legislation, many banks and investment funds have moved into the capital.

Media and social networks: moving from communication to influence

Today, any insurance company questions the use of social media strategy for digital. Analysis of different positions and opportunities.

In the context of growing participatory media - blogs, social networks and personal professional, participatory media, microblogging, etc. -, the challenge of these areas of expression is well established for business: the opinions expressed therein are considered by consumers as more influential than advertising or official sites.

Insurers: Find a model of partnership with the profession of agent to better meet the challenges of tomorrow

For many companies, the network of general agents is the main vector distribution. Historically, the General Agent was virtually the only point of contact with customers, prospecting the claims.

The General Agents - unlike employees of the company - are entrepreneurs, who hold a portfolio of contracts and therefore a customer. For twenty years, a number of fundamental context of the distribution of insurance have changed: the appearance and growth of the use of "new" channels (internet, mobile ...), changes in market share (MSI , banks ...), coming into play of new distributors (supermarkets, banks ...).

MEPs adjust taxation of real estate gains

MEPs adopted the amendment proposed by Gilles Carrez (UMP, Val de Marne), as amended, by the government, which is developing the new tax regime for real estate gains. He recovers, according to the general reporter the owners selling a principal residence and tenants selling their principal residence for the first time a property.

The amendment exempts from taxation of capital gains to the first transfer of a dwelling that is not a principal residence where the vendor is tenant's principal residence, as was the case before the 2004 reform. It aims in particular, according to Mr. Carr, to avoid the criminalization of young households, the Paris region or in dense urban areas, can not afford their homes because of the explosion in property prices.

How should be your investment portfolio?

The short term trader is meant to the people you who trades in the Derivatives Market (Futures and Options Market) in Stock Markets or Commodities Market. A trader takes a position in the market in futures or options and holds it for few days. Normally, we can see one month, two month or three months contract in the derivatives market, but we have contracts ranging from months to years.

The trader holds the positions until he makes a profit or until he cuts his losses. Not all trades end up in profits. If the trade goes against his position then he has to close it before he makes a substantial loss. Anyway, he has to close the position with profit or loss or at cost. If he feels, the underlying security move as per his expectation for the next month also, then he can carry forward the contract to next month also. Likewise, he can carry forward the position to unlimited number of months.

So a person trading in this time frame is called a short term trader. In a futures positions, he has to pay a margin to hold a futures position (whether it is short or long). In case, if the position he holding is loss, then he needs to pay the extra margin to make up the loss and also to continue to hold the position. So, there is always a risk of holding these type of positions. Unlike, holding a delivery share, holding a futures position would anytime invite margin call. If we are not prepared for that, then we have to close the position in loss, if it goes our way in the near futures.

Trading for the short term is always risky. But the profits we make in the short term is substantial. You no need to hold it for a long time. Your money will not be blocked for a long time. You can quickly use your funds.

But in the long term investments, your money will be blocked for a long time. There may a time when your money would remain idle without appreciating for years. But it is less riskier than short term positions.

I prefer any investor to invest more than seventy percent of their investments in long term and trade only twenty five percent of your investments in short term trading.

Savings is not for TODAY,it is for TOMORROW!!!!!!!!!

Money flows through every ones hand but very few only holds the money firmly. Without some basic attitude, you cannot save money in this fast moving modern world. In economics these basic things are called as "Factors of Production". For every economic activity  the land manpower and money are the basic needs and they are the factors of production.


You may think loans can be availed easily but in reality  the lenders are verifying your repaying capacity and your bonafied.  Even for a home loan the banks are asking for the margin money from the borrower. In this case your savings only will give you a hand.




Even a skyscraper is built with small small bricks only. If you start to save money right now it will accrued  to a large sum tomorrow.
What ever may be your earnings weather  it is in thousands or in lakhs, your needs also more than that of your earnings,hence whatever be the income you have to save a small portion of your earnings.


In this fast changing world, your savings only will give you a hand in your future needs. hence you start savings from this New year itself.
Once you decided to save money there are various ways to save. You can invest in recurring deposits in banks and if you are a salaried person you may voluntarily invest more money in P.F or you  you may invest in systematic investments plans(SIP).
Last but not the least  Every building is built by small small bricks only.

Evils of Inflation and deflation

Let me explain the concept of Inflation and deflation in a simple manner. Inflation and deflation are the terms used to describe the state of a Economy.

Inflation is the word used during price rise of essential commodities. Inflation is nothing but, too much of money chasing too little goods. To put it simply, if there is too much of paper money and less quantity of goods are produced, then too much of paper money would chase too little goods which would automatically increase the price of the commodity.

Inflation occurs when there is more paper money and less end products. There is imbalance between the money printed and the goods produced during inflation. Inflation can be controlled by controlling the printed paper money or producing more of the goods.

The term deflation is used opposite to Inflation. Deflation is a period when too little money chases too many goods. Because of this, the price of the commodities starts falling which will put the producers to get a price lower than their production cost. This is also evil to the economy.

So continous fall or rise of prices would be seen as evil for the economy. Inflation and deflation can be controlled by the Government by increasing or decreasing the Interest rates or by controlling the printing of Currencies.