New Hampshire Attorney General Warns of Rising Investment Scams on Social Media Platforms

According to the New Hampshire Department of Justice, scammers are increasingly using platforms owned by Meta — including Facebook, Instagram, and WhatsApp — to promote deceptive investment opportunities. These schemes often rely on fake advertisements, impersonation of well-known public figures, and manipulated “deepfake” videos to convince users to hand over money.

“Scammers are getting more sophisticated and more convincing,” Formella said. “If an investment opportunity promises guaranteed returns or pressures you to act quickly, especially on social media, it’s almost certainly a scam.”

State officials say many of the scams fall into two primary categories: pump-and-dump operations and so-called confidence schemes.

Pump-and-dump scams typically begin with online promotions encouraging users to invest in low-cost stocks or cryptocurrency. Victims are often drawn into private groups where the investment is aggressively promoted to inflate its value. Once the price peaks, scammers sell their shares, leaving others with losses. In many cases, ads falsely feature recognizable figures such as Cathie Wood, Joe Kernen, or Kevin O’Leary without their consent.

Confidence scams, meanwhile, involve building trust with victims over time. Scammers may guide individuals to realistic-looking but fake investment platforms, sometimes allowing small initial withdrawals to appear legitimate before ultimately blocking access and demanding additional fees.

The Attorney General’s Consumer Protection and Antitrust Bureau cautions that legitimate investment professionals rarely advertise specific opportunities through social media channels. Residents are encouraged to carefully verify any unsolicited offers and remain skeptical of high-pressure tactics.

Officials also warn that scammers frequently try to move conversations to encrypted messaging apps such as Telegram, where oversight is more limited.

Consumers are advised to watch for warning signs such as promises of “risk-free” returns, urgent calls to act, celebrity endorsements, and requests involving cryptocurrency transactions. Verifying credentials through FINRA, researching investment opportunities, and consulting trusted financial advisors are all recommended steps before committing money.

Authorities stress that financial losses tied to cryptocurrency can be difficult or impossible to recover. Anyone who believes they have been targeted or victimized is encouraged to report the incident to the state’s Consumer Protection and Antitrust Bureau and the FBI Internet Crime Complaint Center as soon as possible.

Residents are also cautioned to avoid “asset recovery” services that charge upfront fees, as those operations may also be fraudulent.