Security News > 2023 > April > US seizes $112 million from cryptocurrency investment scammers
Today, the U.S. Department of Justice seized six virtual currency accounts containing over $112 million in funds stolen in cryptocurrency investment schemes.
The criminals behind these cryptocurrency fraud scams approach their victims via various dating platforms, messaging apps, or social media platforms, build trust, and introduce them to investment schemes which eventually allow them to empty the targets' crypto wallets.
"In 2022, investment scam losses were the most scheme reported to the IC3. Investment fraud complaints increased from $1.45 billion in 2021 to $3.31 billion in 2022, which is a 127%," the FBI said.
"Within those complaints, cryptocurrency investment fraud rose from $907 million in 2021 to $2.57 billion in 2022, an increase of 183%.".
The FBI also warned in a public service announcement issued last month of a spike in 'pig butchering' crypto investment schemes that resulted in over $2 billion worth of cryptocurrency losses in 2022, according to U.S. victims' reports.
Previous FBI alerts warned of scammers using fraudulent cryptocurrency investment apps and fake rewards in so-called "Play-to-earn" games that help crooks steal millions from cryptocurrency investors.