Crypto Scams Surge in 2023: $5.6B Lost, FBI Warns
Cryptocurrency scams have surged in 2023, with losses soaring by 45% compared to the previous year, according to the FBI's Internet Crime Complaint Center (IC3). The total losses exceeded $5.6 billion, with investment scams being the most prevalent.
Investment scams accounted for nearly 71% of all cryptocurrency-related losses in 2023. These schemes defrauded victims of over $3.96 billion, a significant increase from $2.57 billion in 2022. Other top cryptocurrency-related crimes included personal data breaches, tech support fraud, and romance scams.
Phishing scams and business email compromise with a crypto connection also resulted in substantial losses. The IC3 received over 69,000 complaints relating to financial fraud and crypto in 2023, with the US, Canada, and the UK topping the list of countries by complaint count. In the US, citizens from California, Florida, and Texas issued the highest number of complaints.
The IC3 recommends submitting a complaint, even if no financial loss has occurred, and providing transaction details to aid in investigations. Despite the alarming figures, the true extent of cryptocurrency fraud may be higher, as many victims may be hesitant to report these crimes.
