LANSING, MI — The Michigan Department of Licensing and Regulatory Affairs (LARA) today unveiled a new investor education campaign and website to help Michiganders better understand, recognize, and avoid investment fraud.
The new resource provides clear, accessible information on common scams, warning signs, and steps individuals can take to protect themselves before making financial decisions.
Investment fraud continues to impact individuals across Michigan. According to the Federal Trade Commission, losses tied to investment-related scams, including cryptocurrency, have increased significantly in recent years. In 2025, Michigan reported thousands of complaints and over $150 million in losses associated with cryptocurrency-related fraud alone.
“Investment fraud can affect anyone,” said Marlon I. Brown, LARA Director. “This campaign is about giving people the tools and information they need to make informed decisions and protect themselves before they invest.”
The Investor Education website offers visitors free access to information on such topics as:
- The most common investor scams and traps.
- Tips to protect yourself from scammers.
- Resources to check on licensing and complaint records of an investment broker or to report a fraudulent investment.
State and federal data show that scams are increasingly occurring online, particularly those using AI-generated deepfakes on social media platforms like Facebook and Instagram.
While adults over the age of 55 are commonly targeted by traditional investment and pension scams, recent trends show that individuals across all age groups, including younger and more tech-savvy populations, are being impacted.
“Understanding how these scams work is one of the most effective ways to avoid them,” Brown said. “We encourage Michiganders to take advantage of these resources and verify information before making any investment decisions.”
Key Aspects of Investment Fraud in Michigan:
- Cryptocurrency Dominance: Cryptocurrency fraud is a primary driver, with losses increasing from $79.8 million in 2023 to over $210 million in 2025.
- Soaring Online Scams: Fraudsters utilize Meta platforms (Facebook, Instagram, WhatsApp) to target victims, often using deepfake technology to build false trust.
- Common Tactics: “Pump and dump” schemes are common, where scammers hype low-priced stocks or crypto to drive up prices before selling. Confidence scams, which build long-term relationships before requesting funds, are also prevalent.
- Targeting Ads: Scammers often use fraudulent ads featuring known financial figures without their permission to lure victims.
- Warning Signs: Most crypto transactions are irreversible. Residents are urged to be skeptical of unsolicited investment advice, especially on social media
How to Protect Yourself:
- Be Wary: Be cautious of investments offering high returns with low or no risk.
- Verify Credentials: Check the registration of any financial professional or company with www.finra.org/brokercheck.
- Ask Questions: Demand detailed information about the investment.
- Report Scams: Contact LARA, local law enforcement, the FBI, or the Michigan Department of Attorney General if you suspect fraud.
Michiganders can contact these agencies to check on a broker or to obtain investment information:
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