Amid the increased adoption of AI, a wealth management platform, Upstox has issued a cautionary advisory regarding an uptick in impersonation scams targeting investors. Recently, there has been a surge in scams wherein a group of individuals tries to impersonate brands and defraud the general public. Upstox said that its cybersecurity team has observed patterns – such as the creation and usage of fake Social Media accounts, Apps, WhatsApp groups, and Websites pretending to be Upstox offering educational courses, stock tips, and promising guaranteed returns. Upstox said that customers from Tier 2 and Tier 3 are especially affected by these impersonation scams due to a lack of awareness and limited access to reliable information sources.
Expressing concerns over the surge in fraudulent activities, Ravi Kumar, CEO and Co-founder of Upstox said, “As one of India’s largest wealth-tech companies, it’s our responsibility to educate individuals about these events and our commitment to preparing them to tackle such situations. We take the safety and security of our investors very seriously. We are committed to providing a secure investment environment and request all investors to conduct transactions only through our official channels. Please help us spread awareness and stay vigilant. Our goal is to ensure that every investor can transact with confidence and peace of mind”.
Upstox shared a few crucial measures to avoid falling prey to impersonation scams
Check broker legitimacy: Always conduct thorough research before engaging with any individual or platform. Look for SEBI registration and Stock Exchange membership to ensure credibility.
Beware of unsolicited offers: Exercise caution with unexpected calls, emails, or messages promising quick profits. Block and ignore such communications to avoid falling victim to scams.
Verify communication channels: Pay close attention to the communication handles of brokers offering quick returns. Upstox always uses its official channels, details of which are provided at the end of this blog.
Protect personal information: Keep sensitive information private, especially when dealing with unknown individuals or suspicious requests. Upstox or its employees will never ask for personal details without proper verification.