What are Pig Butchering scams? Zerodha's Nithin Kamath explains
What's the story
Nithin Kamath, CEO of Zerodha, raised alarm over rampant financial scams, particularly the "pig butchering" ones.
In a post on X, Kamath said, "The scale of pig butchering scams in India runs into tens of thousands of crores. It is scary how many people fall for fake job offer scams, scammy high-return investment schemes, and crypto investments, etc."
He further elaborated on the nature of these scams and provided advice on how to safeguard oneself from becoming a victim.
Twitter Post
Check out Kamath's post
The scale of pig butchering scams in India runs into tens of thousands of crores. It is scary how many people fall for fake job offer scams, scammy high-return investment schemes and crypto investments, etc.
— Nithin Kamath (@Nithin0dha) November 13, 2023
As the name implies, a pig butchering scam involves fattening the… pic.twitter.com/x3ezkZrmHR
Details
What are 'Pig Butchering' scams?
Pig butchering refers to a cyber scam where fraudsters pretend to be friends or romantic partners to deceive individuals into giving them money for bogus investments or jobs.
Kamath explained that these con artists build trust with users by creating fake profiles and manipulating emotions such as hope, fear, dreams, and greed.
"As the name implies, a pig butchering scam involves fattening the victim before butchering," Kamath said in the post.
Insights
What makes this scam dangerous?
Kamath highlighted a troubling cycle where scammers, once victims themselves, end up deceiving others.
"What makes these scams even more cruel is that the person scamming could also be a victim of another type of scam. Many fall into the trap of international job offers from scammy companies."
"Once abroad, they are held captive and forced to scam Indians by building trust using social media platforms, typically using fake profiles of the opposite sex," he said in the post.
What Next?
Tips to protect yourself
Kamath offered several recommendations to safeguard oneself from such scams.
Firstly, avoid responding to unknown messages, and be careful with new app downloads or links.
Don't make hasty decisions when emotions are being manipulated. Stay composed and seek guidance from authorities if uncertain.
Stay wary of job offers, high returns, or money requests. Never share personal details like Aadhaar or financial information.
Finally, remember, if it seems too good to be true, it probably is.