US Recovers $225M in Largest-Ever Crypto Scam Bust | Crypto Fraud, Blockchain, FBI
The United States government announced on Wednesday, June 19, 2025, that it has successfully recovered $225 million in what is being hailed as the largest seizure of stolen funds from a cryptocurrency scam to date. The operation involved collaboration between the FBI and the U.S. Secret Service, who used advanced blockchain analysis and investigative tools to trace the stolen funds. The announcement was made by the U.S. Attorney’s Office, which did not confirm whether any arrests have been made in connection with the case.
According to the authorities, the stolen funds were linked to fraudulent cryptocurrency investment schemes that deceived victims into believing they were engaging in legitimate investment opportunities. The scam affected dozens of Americans and more than 400 victims globally, many of whom suffered severe financial losses. The perpetrators created a highly complex blockchain-based money laundering network to obscure the origin and destination of the illicit funds.
The fraudulent network executed hundreds of thousands of transactions, making it extremely difficult to trace the stolen money. By exploiting the perceived anonymity and technical complexity of blockchain systems, the scammers were able to siphon funds over time without immediate detection. Authorities said the scheme was sophisticated and well-coordinated across borders.
Shawn Bradstreet of the U.S. Secret Service office in San Francisco emphasized that the scam relied heavily on building trust with unsuspecting victims, only to leave them in financial ruin. He noted that these types of scams continue to prey on vulnerable individuals seeking financial growth through emerging technologies like cryptocurrency.
The U.S. government expressed hope that the recovered money can be returned to its rightful owners. The announcement also highlighted the broader issue of cryptocurrency fraud, which led to reported losses exceeding $5.8 billion in 2024 alone. This recovery marks a significant win for law enforcement efforts combating financial crimes in the digital asset space.
Source: Punch