FBI Reports $5.8 Billion in Crypto Investment Scam Losses in 2024, Elderly Most Affected
The FBI’s latest Internet Crime Complaint Center (IC3) report paints a dire picture of the growing threat of cryptocurrency-related scams. In 2024, investment scams alone racked up $5.8 billion in losses, making up more than half of the total crypto-related fraud. Overall internet crime losses soared to $16.6 billion—up 33% from 2023, with crypto fraud accounting for $9.3 billion, a 66% year-over-year jump. The report identifies nearly 150,000 complaints linked to crypto scams, highlighting how widespread and deeply rooted these digital crimes have become.
The report singles out “pig butchering” scams as a key contributor to the surge. In these scams, fraudsters build fake online relationships to emotionally manipulate victims into investing in phony crypto schemes. The FBI warns that this method is especially insidious due to its personal nature and high success rate. Operation Level Up, launched by the FBI in early 2024, has already identified over 4,300 victims, and notably, 76% of them didn’t realize they had been scammed—an indicator of how advanced and deceptive the tactics have become.
Elderly Americans bore the brunt of these crimes, with individuals aged 60 and older losing over $2.8 billion last year. This demographic has become a prime target due to a combination of higher net worth and less familiarity with digital assets. The FBI continues to stress the importance of awareness, recommending that people vet crypto platforms thoroughly and avoid unsolicited financial advice—especially from online connections.
Adding to the concern, blockchain analytics firm TRM Labs reported that over $10.7 billion in crypto flowed through fraudulent channels in 2024, with thousands of scam websites popping up monthly. These scams often use QR codes, crypto ATMs, stablecoins like USDT and DAI, and even AI-generated personas to fool investors. Meanwhile, global incidents like the recent collapse of Nigerian crypto platform CBEX—which caused over N2.4 billion in losses—underscore the urgent need for tighter regulations worldwide.
Source: Nariametrics