Disclaimer: This article is for informational purposes only and does not constitute financial advice. BitPinas has no commercial relationship with any mentioned entity unless otherwise stated.
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With the LS Team officially announcing the termination of its partnership with KBS Exchange and the migration of users to the unlicensed AUX Exchange (and RH Team), thousands of Filipino investors are now left with frozen assets.
“Analysts” admitting to a “shortage of funds” and the implementation of “recruit-to-withdraw” policies are classic indicators of a collapse. If you are a victim of this scheme, here are the immediate and legal steps you should take to protect yourself and help authorities.
Read our articles about LS KBS here:
Do not send any more money. Do not use another exchange they are asking you to use.
Scammers often use the “sunk cost fallacy” to extract more funds from victims during the final stages of a collapse. They may ask for:
- “Activation Fees” or “VIP upgrades” to migrate your account (or any other reason).
- “Taxes” or “Service Fees” to release your frozen KBS funds.
- “verification deposits” to prove you are an active user.
Reality Check: Legitimate exchanges deduct fees from your existing balance. Any platform asking for new deposits to release old funds is performing a secondary scam.
Step 2: Gather and Preserve Evidence
Authorities need proof to build a case. Do not delete the apps or leave the group chats yet. Gather the following immediately:
- Screenshots: Capture all conversations with the so-called “analysts”, specifically where they promised returns, admitted to fund shortages, or gave instructions to migrate.
- Transaction Hashes: Document every deposit you made. Go to your source wallet (GCash, Binance, Maya, etc.) and copy the Transaction ID (TXID) or Hash for every transfer sent to the scam platform.
- Wallet Addresses: Save the deposit addresses you were told to send money to.
- URLs and Domain Names: List all the websites you were asked to access (e.g.,
867-03.com,aux-ocoin.vip,kbsex.com). - Profile Identities: Screenshot the profiles of the admins, including their usernames and any photos they used (even if they are likely fake/AI-generated).
Step 3: Report to SEC
The Securities and Exchange Commission (SEC) is the primary agency responsible for reporting on investment scams. The LS KBS/AUX scheme involves the offering of unregistered securities (investment contracts).
- Email: Send your complaint and attached evidence to the Enforcement and Investor Protection Department (EIPD) at [email protected].
- Subject Line: Complaint against LS Team / KBS Exchange / AUX Exchange.
- Details: Include a narrative of how you were recruited, the total amount lost, and the names of the recruiters/analysts.
Step 4: File a Complaint with the NBI or PNP
Since this involves online fraud, it falls under the jurisdiction of cybercrime authorities.
NBI Cybercrime Division (NBI-CCD)
- Email: [email protected]
- Action: You can file a formal complaint-affidavit at the NBI Main Office (Taft Avenue, Manila) or your nearest regional office.
- Website to check phone number
PNP Anti-Cybercrime Group (PNP-ACG)
- Hotline:
- SMART – 09688674302
- GLOBE – 09671360322
- DITO – 09929893889
- Email: [email protected]
- Facebook: PNP Anti-Cybercrime Group
Step 5: Beware of ‘Recovery Scams’
After a scam collapses, victims are often targeted by a second wave of scammers known as “Recovery Experts.”
- You will see comments on social media saying, “I lost money too but [Name] helped me recover it!” or “DM this hacker on Instagram, he can get your USDT back.”
- These are lies. No “hacker” can reverse a blockchain transaction. They will ask you for an “upfront fee” or your “seed phrase” and steal even more money from you.
Remember: Only law enforcement agencies working with exchanges can legally freeze or recover assets. Anyone else promising to “hack back” your money is a scammer.
This article is published on BitPinas: What to Do If You Are a Victim of Crypto Scams Like LS KBS / AUX Exchange
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