$700M Crypto Seized in Global Scam Crackdown

U.S. Authorities Seize Hundreds of Millions in Crypto in Global Scam Takedown

Federal law enforcement agencies have announced a major crackdown on international scam operations, leading to the seizure of over $700 million in cryptocurrency. These scams, often referred to as “pig butchering,” target Americans with sophisticated online fraud schemes. The “Scam Center Strike Force” has been instrumental in these efforts, coordinating a multi-agency approach to disrupt criminal organizations operating overseas.

Targeting Sophisticated Cybercrime

Cyber-enabled investment fraud, particularly involving cryptocurrency, is one of the fastest-growing and most damaging forms of crime affecting Americans. These schemes have led to devastating financial losses for victims, sometimes pushing them to extreme measures. President Trump’s administration has prioritized combating these transnational criminal operations through a comprehensive government strategy.

The Scam Center Strike Force, launched in November 2025, brings together law enforcement, intelligence, diplomatic, and financial tools. This coordinated campaign aims to disrupt and hold accountable the criminal organizations behind these complex scams. Recent actions include charging Chinese nationals who allegedly ran scam compounds in Burma, where individuals were reportedly trafficked, enslaved, and forced to steal from Americans.

Key Operations and Seizures

• Compounding the Crime: Authorities dismantled a scam compound in Burma, seizing over 8,000 phones and 1,500 computers. This operation led to charges against two managers accused of forcing victims into slave labor to conduct fraudulent cryptocurrency investments.
• Disrupting Communication: A Telegram channel used to lure workers into forced labor in Cambodia was seized. This channel allegedly instructed individuals to pose as representatives of U.S. banks and law enforcement agencies to steal Americans’ life savings.
• Website Takedowns: More than 500 websites used in these fraudulent schemes have been taken down.
• Cryptocurrency Seized: Over $700 million in cryptocurrency linked to U.S. victims of fraud has been restrained.

International Cooperation and Enforcement

The fight against these scams involves extensive international cooperation. The FBI, U.S. Secret Service, Department of Treasury, and Department of State are working with foreign law enforcement partners, including authorities in Thailand and Cambodia. These collaborations are crucial for tracking down fugitives and dismantling the operational bases of these criminal networks.

The Department of State has announced reward offers of up to $10 million for information leading to the seizure of proceeds from scam compounds in Burma and up to $4 million for information leading to the arrest of Darren Lee, a fugitive indicted for cryptocurrency investment fraud. The Treasury Department has also sanctioned Cambodian Senator Ko an and 28 associates involved in running scam compounds and laundering victim funds.

What Investors Should Know

The FBI’s Internet Crime Complaint Center (IC3) received over 1 million complaints last year, with losses exceeding $20 billion. Investment fraud accounted for a significant portion of these losses, with cyber-enabled fraud contributing to nearly 85% of reported financial crimes. Approximately one-third of these reported losses are believed to stem from overseas scam centers.

Victims of cryptocurrency investment fraud are encouraged to report incidents to the FBI’s IC3 at www.ic3.gov. For individuals aged 60 and older, the National Elder Fraud Hotline at 1-833-FRAUD-11 is available for support and reporting. Reporting these crimes is vital for connecting evidence, identifying perpetrators, and assisting in the recovery of stolen funds.

The ongoing efforts by U.S. authorities aim to dismantle these international scam operations, hold perpetrators accountable, and return stolen assets to victims. The message to criminals operating these schemes is clear: U.S. law enforcement’s reach extends beyond its borders, and they will continue to pursue those who prey on American citizens.

The Department of Treasury also offers whistleblower rewards for actionable tips related to fraud, money laundering, and sanctions violations. Information can be submitted through treasury.gov/whistleblower.

Source: WATCH LIVE: Jeanine Pirro announces DOJ crackdown on foreign scams (YouTube)