Crypto Fraud Soars 45% in 2023, Reaching $5.6 Billion Losses
Crypto Fraud Increase: A Stark Warning
According to the FBI's Internet Crime Complaint Center, consumers faced losses exceeding $5.6 billion due to cryptocurrency-related fraud last year, marking a staggering 45 percent increase from 2022.
Details of Crypto Crimes
- The report noted the receipt of nearly 69,500 complaints from consumers both in the US and internationally.
- Crypto-related complaints comprised about 10 percent of all financial fraud reports, but related losses accounted for almost 50 percent of total financial fraud losses.
- Investment scams were notably prevalent, leading to 71 percent of all cryptocurrency losses.
Michael Nordwall, from the FBI Criminal Investigative Division, emphasized the increasing use of cryptocurrencies by criminals as the global financial ecosystem embraces digital assets. Following a downturn in the crypto market in 2022, interest from criminals surged alongside the recovery of token prices, with Bitcoin doubling last year.
For further insights and a detailed understanding of the trends in cryptocurrency fraud, refer to the FBI’s full report.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.