The US government announced on Wednesday the recovery of $225 million its largest seizure to date in a cryptocurrency investment scam.
According to a statement from the USAttorney’s Office, the FBI and USSecret Service traced the stolen funds using blockchain analysis and other advanced investigative techniques. Though no arrests were confirmed, officials revealed that the money originated from fraudulent crypto investment schemes.
The scam, which targeted dozens of Americans and more than 400 victims globally, deceived individuals into believing they were making legitimate cryptocurrency investments. In reality, they were ensnared in a sophisticated fraud operation that used an elaborate blockchain-based laundering network, involving hundreds of thousands of transactions to obscure the origins of the stolen assets.
“These scams prey on trust and often lead to severe financial hardship for the victims,” said Shawn Bradstreet of the U.S. Secret Service in San Francisco. He added that authorities aim to return the funds to their rightful owners.
In 2024 alone, cryptocurrency investment fraud accounted for over $5.8 billion in reported losses.
