The Federal Bureau of Investigation (FBI) has released alarming findings on the rise of cryptocurrency-related cybercrime, revealing that investment scams accounted for $5.8 billion, more than 50% of all reported crypto losses in 2024.
According to data from the FBI’s Internet Crime Complaint Center (IC3), total internet crime losses skyrocketed to $16.6 billion, marking a 33% increase compared to 2023.
Crypto-related scams contributed $9.3 billion, reflecting an astonishing 66% year-over-year surge.
Crypto Scams Dominate Cybercrime in 2024
The FBI’s 47-page report emphasized the central role of cryptocurrency in cybercrime losses, citing nearly 150,000 complaints linked to fraudulent crypto activities.
Among the various schemes, investment scams emerged as the most damaging, with reported losses totaling $5.8 billion.
A significant portion of these investment fraud cases involved “pig butchering” scams, a manipulative scheme where criminals cultivate fake online relationships to coerce victims into investing in fraudulent crypto platforms.
Elderly Victims Face Disproportionate Losses
The report highlighted the severe impact of crypto scams on older Americans, with individuals aged 60 and above reporting losses exceeding $2.8 billion, making them the most targeted age group.
To combat the rising trend, the FBI initiated Operation Level Up in early 2024, identifying more than 4,300 victims of crypto-related scams.
Shockingly, 76% of those contacted were unaware they had been victimized, indicating the sophistication of cybercriminal tactics.
Blockchain Forensics Firm Warns of Expanding Crypto Fraud Networks
Analysts at TRM Labs, a leading blockchain forensic firm, reiterated concerns over the dominance of scams in crypto-related crimes, stating that investment and financial grooming scams remained the most lucrative forms of illicit on-chain activity in 2024.
Their findings estimate that at least $10.7 billion in crypto funds were funneled into fraudulent schemes, with thousands of phishing and investment scam websites emerging monthly.
Scammers are increasingly exploiting QR codes, crypto ATMs, and stablecoins—such as Tether’s USDT and decentralized stablecoin DAI—to defraud users, often using AI-generated personas to impersonate financial advisors or online acquaintances.
As cryptocurrency adoption grows, law enforcement agencies and cybersecurity experts continue to warn investors to exercise caution, verify platforms, and remain vigilant against evolving fraud tactics.
What you should know
- In Nigeria last week, digital asset trading platform, CBEX, crashed, reignited urgent calls for stricter government regulation and enforcement.
- The platform’s sudden crash, which left investors unable to access their funds, caused financial losses exceeding N2.4 billion and drew attention to the critical gaps in Nigeria’s regulatory framework for digital investments.
- The crash sparked widespread outrage and called into question the oversight of government agencies tasked with regulating such platforms.
Have been scam for so many days now someone asked me to help a poor sick baby that have been sending money to them sometime to ask me to send 25 50 and they say I will win a huge amount of money for doing so as a prank that they were pranking me the money is up to 140 something before and they also asked me to send 25 today which I did help me sir