The appeal of cryptocurrency is that it operates free from government, central banks and federal reserves.
Associate Professor at the University of Queensland Rand Low said many people "like the idea of being able to transact in a system that is free from government interference."
Cryptocurrency isn't governed, and is ultimately backed by its users.
This leads to a huge gap in the legal system, where victims of crypto scams are left in the lurch.
Head of policy at consumer advocacy group Choice Tom Abourizk told SBS Examines: "96 per cent of those losses are not recoverable and the consumer bears the loss for that."
According to a survey out of , those most at risk are people who speak English as a second language.
Asssociate Professor Levon Blue said: "We found there was a lack of understanding about the implications of crypto."
If an investment sounds too good to be true, it probably is.
This episode of SBS Examines looks at the misinformation around cryptocurrency, and asks why so many Australians are losing money to investment scams.
