Revolut Warns Of A New Wave Of Scams Targeting Encrypted Messaging Platforms
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British multinational neobank and fintech firm Revolut recently reported a new wave of fraud originating from encrypted messaging platforms. According to the firm, WhatsApp and Telegram were hit the strongest, with over a third of reported scams (39%) originating there.
The new report says that criminals are increasingly turning to messaging platforms to scam and exploit their victims.
The report, published on March 31, says that Meta platforms are the biggest source of scams, being responsible for more than half of them (54%). This is also the third consecutive reporting period where Meta has held this position.
In comparison, Google platforms are responsible for only 0.09% of all fraud cases, suggesting that this tech firm can successfully prevent fraud at its source.
Right now, WhatsApp has seen 21% of encrypted messaging platform scams originating on its service, while Telegram is responsible for 18%. Facebook, however, is the biggest source of fraud, with 28% originating on its network.
Revolut Urges Social Media Platforms To Take Action
The fraudsters’ tactics are evolving rapidly, especially on the platforms that have led users to believe they are secure. However, the number of cases coming from Telegram went up by 121% in H2 2024, while WhatsApp cases are up by 67%. While the percentage is considerably smaller than Telegram, it is similarly concerning.
In response to the situation, Revolut has once again called for social media platforms to take the problem seriously and move beyond making small changes and ineffective pilot schemes. It urged them to take decisive action and proactively remove spam content. Actions like verifying advertisers could also have a large, positive impact on the situation.
But, most importantly, given that the scams are originating on their platforms, Revolut also believes that social media platforms should commit to reimbursing the victims of scams, since it is their responsibility to prevent them.
Woody Malouf, Revlut’s head of financial crime, stated that fraudsters are adapting their tactics rapidly, and are exploiting supposedly secure messaging apps more and more. “Yet, despite repeated calls from Revolut and other financial institutions, social media platforms are failing to address the fraud plaguing their users, and their inaction is not just negligent; it’s a direct enabler of financial crime. We need immediate, decisive action, not empty promises,” he concluded.
