The Alberta Securities Commission (ASC) has issued a public warning about an alleged cryptocurrency investment scam called CanCap, which is being promoted through social media and fraudulent online advertisements. 

The announcement comes as part of Fraud Prevention Month, highlighting the growing threat of digital asset fraud schemes.

According to the ASC, the suspected scam falsely claims endorsements from high-profile entities, including the Government of Alberta. 

One of the fraudulent advertisements features a fabricated CBC news article, complete with an image of Prime Minister Justin Trudeau, falsely suggesting that he is backing an investment program in response to US tariffs. 

The ASC’s investigation has linked the CanCap scam to multiple websites, including ecosmartfunds.com, heepstekk.com, primeinvests.eu, muxcap.io, webtrader.springhill.top, and traderboltai.com. None of these entities are registered to sell or advise on investments in Canada.

The ASC clarified that the fraudulent scheme should not be mistaken for CanCap Group, a legitimate Canadian financial services company.

Regulators warn that fraudsters frequently use sophisticated techniques to exploit public trust, often impersonating established businesses and fabricating endorsements from well-known public figures to lend credibility to their schemes. 

The ASC has outlined several warning signs of fraudulent crypto investment scams, including the unauthorized use of recognizable company names, false endorsements from public figures, fake news articles, the manipulation of current events to appear relevant, and unrealistic promises of high returns with minimal risk.

Investors are urged to exercise caution and conduct thorough due diligence before engaging in any cryptocurrency-related investment. 

The ASC encourages the public to visit CheckFirst.ca to learn about the red flags of fraud, verify whether an investment firm or individual is registered to deal in securities using the National Registration Search, and consult the CSA Investor Alerts, Disciplined List, and Cease Trade Orders to identify known investor risks.

As Alberta’s provincial securities regulator, the ASC is responsible for enforcing securities laws to foster a fair and efficient capital market while protecting investors. 

The agency also works in collaboration with the Canadian Securities Administrators (CSA) to harmonize financial regulations across the country.

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