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Fraud

$12 Million in Tether Cryptocurrency Seized in Crypto Investment Fraud Scheme

Strategic Insights

— 1 min read

A civil forfeiture complaint has been filed by the United States Attorney's Office against over $12 million in Tether cryptocurrency related to a cryptocurrency investment fraud scheme. The scheme targeted 10 female Mandarin-speaking victims, collectively losing more than $10.3 million. The perpetrators used unsolicited text messages to lure victims into investing in a fraudulent website called ShakepayEX, which mimicked a popular Canadian cryptocurrency exchange.

Key Takeaways:

  • The United States Attorney's Office filed a civil forfeiture complaint against over $12 million in Tether cryptocurrency.
  • The cryptocurrency investment fraud scheme targeted 10 female Mandarin-speaking victims, resulting in losses of over $10.3 million.
  • The perpetrators used unsolicited text messages to strike up conversations with victims and persuade them to invest in a fraudulent website called ShakepayEX.
  • Law enforcement used blockchain analysis and other investigative techniques to tie the seized cryptocurrency to the scheme.
  • The FBI is investigating the case, with Assistant U.S. Attorney Joshua R. Rosenthal representing the United States.
  • The filing serves as a reminder that the FBI will continue to work with partners to identify, investigate, and seek justice for cryptocurrency scams.
  • The FBI's Internet Crime Complaint Center offers resources for victims of cybercrime, including cryptocurrency scams, romance scams, and investment scams.

Statistics:

  • Over $12 million in Tether cryptocurrency has been seized in the civil forfeiture complaint.
  • The cryptocurrency investment fraud scheme resulted in losses of over $10.3 million for 10 female Mandarin-speaking victims.
  • The scheme targeted victims after the perpetrators used unsolicited text messages to strike up conversations.
  • Blockchain analysis and other investigative techniques were used to tie the seized cryptocurrency to the scheme.

Sources:

  • US FBI
  • New York Times
  • Federal Bureau of Investigation
  • United States Attorney's Office for the Northern District of New York

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