YEREVAN (CoinChapter.com) — The Federal Bureau of Investigation (FBI) has released several warnings to help protect investors in the cryptocurrency space. As scams grow more advanced, the FBI urges people to stay alert and informed. The agency has shared data showing billions of dollars lost in crypto fraud in just the past year. Here are five key warnings that every investor should understand.
Investment Scams Are Growing Rapidly
According to the FBI, investment scams are the most common type of crypto fraud. In 2023, they made up over $3.9 billion in reported losses. These scams often promise large returns with little or no risk. Scammers use fake websites and apps that look real. They create professional-looking charts, live price trackers, and fake testimonials. Once someone invests, the scammer may even show fake profits to build trust. Then, when the victim tries to withdraw their money, the scammer vanishes or demands more payment.
The FBI says these scams usually begin online. Social media and messaging apps are the main tools scammers use. A simple message offering a “great opportunity” can lead to large losses. The fraudster might pose as a financial expert or trader, gaining the victim’s trust before introducing the fake investment.
Older Adults Are Prime Targets
The FBI found that people over the age of 60 lose more money than any other age group in crypto fraud. In 2023, seniors lost more than $1.6 billion to these schemes. Scammers often contact them through social media or emails. They build a friendly or romantic relationship first. Later, they suggest investing in cryptocurrency.
This tactic is known as a “pig butchering scam.” The term means the scammer “fattens” the victim with attention before “butchering” them financially.
Source: FBI Internet Crime Complaint Center (IC3)
These scams are especially dangerous because they play on emotions. The victim thinks they are helping someone they trust. The scammer may even promise marriage or a future together. Once the victim sends money, the scammer keeps asking for more, using excuses like taxes or fees. By the time the victim realizes it is fake, the money is gone.
Romance and Friendship Used as Tools in Crypto Scams
Romance scams are another top warning from the FBI. These frauds involve fake relationships created online. The scammer pretends to care about the victim and gains their trust over time. After weeks or months, they introduce a crypto investment. They might say they have inside knowledge or access to a new platform.
The victim feels emotionally connected and wants to support their partner. They send money, expecting profits. Instead, they are giving funds to a criminal. Sometimes, the scammer encourages the victim to take out loans or sell belongings. They can lose thousands or even millions before realizing the truth.
The FBI says these scams are hard to detect because they happen slowly. There is no upfront pressure. Instead, the scammer carefully builds a believable story and waits until the victim is emotionally involved.
Scammers Pretend to Be Authorities
Many scams now involve criminals pretending to be from the government. Victims receive phone calls, emails, or texts that look official. The scammer says they are from the FBI, IRS, or another agency. They claim the victim is being investigated or that their funds are at risk. Sometimes, they say there is a national security issue involving the victim’s bank account.
To “protect” their money, the scammer tells the victim to convert their funds to crypto and send them to a safe wallet. That wallet, of course, belongs to the scammer. Victims panic and do as instructed, not realizing it’s all fake. The FBI confirms that no agency will ever ask people to move their money in this way.
Source: FBI Philadelphia Field Office – March 2025 Notice
These scams use fear to push quick action. Scammers often tell the victim not to speak to anyone else. They claim the situation is confidential or sensitive. The FBI stresses that real officials do not operate like this. They do not contact people through social media or demand payment in cryptocurrency.
Recovery Scams Target Previous Victims
The FBI warns that being scammed once does not mean the danger is over. Some criminals return to victims pretending to offer help. They claim they can recover lost funds. These “recovery scams” often use fake legal firms, security companies, or even pretend to be the FBI itself.
They ask for a fee to start the process. Sometimes they say the money will go toward court costs, lawyer fees, or crypto unlocking tools. Victims who are desperate to get their money back pay the fee. But after the payment, the scammer disappears again.
In some cases, the scammer sells the victim’s contact information to others, starting a new wave of fraud. The FBI advises that people should never pay anyone who claims they can recover lost crypto. Real law enforcement does not charge fees to investigate crimes.
The FBI’s Data and Regional Trends
The FBI’s Internet Crime Complaint Center (IC3) received more than 69,000 reports of crypto fraud in 2023. California had the highest total losses, with over $1.1 billion stolen. Other states with high losses included Florida and Texas. The FBI has set up outreach teams in many states to educate the public and stop scams before they happen.
Some FBI offices now work with banks and crypto exchanges. They try to identify suspicious transactions and warn people before it’s too late. In a few cases, this has helped stop fraud in real time. But the agency says prevention is still the best protection.
How Investors Can Stay Safe From Crypto Scams
The FBI recommends several steps to avoid becoming a victim:
- Never trust strangers who offer crypto investment advice online.
- Don’t believe anyone who says you must act fast or keep a secret.
- Research platforms before sending money. Look for reviews, licenses, and company information.
- Be skeptical of romantic offers from people you meet online, especially if they mention crypto.
It’s also important to talk to family and friends if something feels off. Many victims say they stayed silent because they were embarrassed. But early conversations can prevent greater losses.
Cryptocurrency remains a popular target for scams. The FBI continues to issue warnings and track new methods. Investment scams, romance fraud, impersonation, and recovery schemes are some of the most dangerous threats today. Above all, by understanding how these scams work and staying cautious, investors can protect their money and avoid becoming victims.
