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US Authorities Seize $9M in Cryptocurrency Linked to Romance Fraud Scheme



US Authorities Seize $9M in Cryptocurrency Linked to Romance Fraud Scheme

The US Department of Justice (DoJ) has scored a major victory in the ongoing battle against cyber-criminals, announcing the successful seizure of $9 million worth of Tether, a cryptocurrency pegged to the US dollar. This significant interception was linked to a sophisticated romance and investment fraud gang notorious for employing what authorities term as “pig butchering” tactics.

The Elaborate Scam Unveiled

The modus operandi of this scam begins innocuously with unsolicited messages on social media platforms or dating sites. Perpetrators patiently cultivate trust over time, ultimately convincing victims to invest in cryptocurrency through seemingly legitimate but entirely fictitious trading platforms.

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Acting assistant attorney general Nicole Argentieri from the Justice Department’s Criminal Division shed light on the devious nature of these criminals, emphasizing their exploitation of over 70 unsuspecting victims. “Through this significant seizure, we disrupted the financial infrastructure of an organized network of scammers who stole millions from victims across the United States,” Argentieri stated.

Victims Left Empty-Handed

The victims, lured into these fraudulent schemes, were presented with fabricated websites, assuring them of profitable returns on their investments. Sadly, these promises were hollow as the international criminal syndicate swiftly absconded with the cryptocurrency, leaving the victims in financial ruin.

“The truth is that these international criminal actors are simply stealing cryptocurrency and leaving victims with nothing,” Argentieri highlighted, stressing the devastating impact on ordinary investors.

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Tracing the Web of Deceit

Despite the intricate methods employed by the fraudsters, US Secret Service analysts were able to track the flow of funds. Deposits made by victims were swiftly laundered through numerous cryptocurrency addresses and converted into different currencies—a technique known as “chain hopping.”

Call for Vigilance and Reporting

The DoJ underscores the importance of victims reporting fraudulent activities, urging individuals to reach out to investigative bodies like the FBI’s Internet Crime Complaint Center (IC3) and Federal Trade Consumer Sentinel Network. This proactive approach aids in curbing such illicit operations, providing a ray of hope even in seemingly dire situations.

A Blow to Criminal Networks, Yet a Fraction Recovered

While this recent seizure is a notable achievement, it stands in stark contrast to a previous breakthrough. In April, authorities captured a staggering $112 million from six cryptocurrency wallets linked to similar pig butchering scams, underscoring the scale of these fraudulent activities.

As the DoJ continues its relentless pursuit of cyber-criminals, the seizure serves as a beacon of justice for the victims ensnared in these deceitful practices. The hope remains that such decisive actions will act as a deterrent to future criminal endeavors while offering a semblance of closure to those affected.


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