Authorities Warn of Surge in Social Media Investment Scams

Pump-and-dump schemes, confidence scams, and fraudulent cryptocurrency offers target victims on Facebook, Instagram, and WhatsApp

Apr. 6, 2026 at 11:18pm

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An extreme close-up photograph of a crumpled, torn piece of paper with a faint 'Get Rich Quick' logo, lit by a harsh, direct camera flash against a pitch-black background, conceptually representing the investigative nature of social media investment scams.As social media scams exploiting celebrity likenesses proliferate, this stark image of a discarded investment scheme document reflects the gritty, investigative nature of the growing problem.Harrisburg Today

Law enforcement leaders in Pennsylvania and Maryland are sounding the alarm about a high number of fraudulent investment 'opportunities' circulating on social media platforms like Facebook, Instagram, and WhatsApp. These scams, including 'pump and dump' schemes, confidence scams, and fake cryptocurrency offers, are using deceptive ads and 'deepfake' technology to lure potential investors into high-stakes scams that aim to extract as much money as possible from victims.

Why it matters

These social media investment scams have become increasingly prevalent, exposing consumers to significant financial risks. Authorities are urging the public to be extremely cautious about any investment advice or opportunities advertised on social media, as most reputable financial advisors do not promote specific investments through these platforms.

The details

In a pump and dump scheme, victims are lured into investment groups and convinced to invest in cryptocurrencies or low-priced stocks. Scammers advertise, hype, and recommend buying the stocks or cryptocurrencies, increasing their prices, and then sell when the price is high, leaving the victims to lose their money. Confidence scams involve fraudsters developing trusting relationships with victims and convincing them to 'invest' using fake investment platforms that drain the victims' money.

  • Attorney General Sunday and Attorney General Brown issued the warning about these social media investment scams in April 2026.

The players

Dave Sunday

The Attorney General of Pennsylvania who is leading efforts to prompt accountability from Meta over the spread of fraudulent investment ads on their platforms.

Anthony Brown

The Attorney General of Maryland who is encouraging residents to report any investment scams they have been affected by to the state's Securities Division and Consumer Protection Division.

Cathie Wood

The founder and CEO of Ark Invest, whose name and image have been used without permission in scam ads luring victims into fraudulent investment schemes.

Joe Kernen

The CNBC anchor whose name and image have been used without permission in scam ads luring victims into fraudulent investment schemes.

Kevin O'Leary

The CNBC anchor and 'Shark Tank' investor whose name and image have been used without permission in scam ads luring victims into fraudulent investment schemes.

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What they’re saying

“We must not let individuals continue to damage private property in San Francisco.”

— Robert Jenkins, San Francisco resident

“Fifty years is such an accomplishment in San Francisco, especially with the way the city has changed over the years.”

— Gordon Edgar, grocery employee

What’s next

Authorities are urging anyone in Pennsylvania who has become a victim of these scams to contact the state's Bureau of Consumer Protection, and anyone in Maryland who has been affected to report it to the state's Securities Division and Consumer Protection Division.

The takeaway

These social media investment scams highlight the growing need for greater platform accountability and consumer education around identifying and avoiding fraudulent financial schemes online. As technology enables more sophisticated deception, vigilance and caution are essential to protect consumers from falling victim to these predatory practices.