How the FBI broke the case
While Interpol has called for the term “pig butchering” to be replaced with "romance baiting," the reality is whatever you call it, these types of scams can be devastating. The FBI's Internet Crime Report revealed 17,823 complaints in 2023 that were related to romance/confidence scams, resulting in an estimated $652,544,805 in stolen money.
With most online romance scams, the stolen money disappears for good. That’s why the FBI’s $8.2 million seizure in crypto funds — which reportedly came from more than 30 victims — is considered one of law enforcement’s most significant actions against romance scams in U.S. history.
The U.S. Attorney's Office for the Northern District of Ohio began the process by filing a civil forfeiture complaint that highlighted the scam back in February, arguing that funds had been taken illegally and should be recovered.
The complaint cited many examples of wrongdoing, including one instance where a woman in Cleveland liquidated her retirement savings and transferred more than $650,000 in digital assets after being convinced she was making a legitimate investment.
According to TRM Labs, "The FBI used blockchain intelligence to trace the flow of funds across multiple platforms and networks — from centralized exchanges, to Ethereum and TRON, through DeFi protocols, and into final storage wallets."
Once the FBI found the three wallets where the cryptocurrency had landed, the bureau seized all of the assets. And with the success of this investigation, the U.S. Department of Justice says it will use this breakthrough to continue probing into similar romance scams, which the department suspects “may involve additional victims and broader fraud networks,” according to Newsweek.
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Learn MoreHow romance scammers prey on their victims
A romance scam is essentially a long con — a long-running scam in which a swindler repeatedly interacts with its targets and earns their trust, convincing them that a legitimate relationship is being formed.
The communication typically takes place online, with the scammer often pretending to be someone they aren't in order to establish a close friendship or romantic relationship with the target.
After they've earned the target’s trust, the swindlers will convince the victims to give them money to invest — typically in cryptocurrency — by talking about their own success with their investments. Unaware that they’re being scammed, the victims will then send real money to the scammers without realizing what they’ve done until it’s too late.
Unfortunately, these scams often result in victims losing large sums of money, as the scammers typically try to convince their targets to keep investing more and more money over time.
How to protect yourself from romance scams
Romance scams can be tough to spot as scammers often prey on a victim’s vulnerabilities, particularly their loneliness. Dating can be tough, and the allure of receiving attention from a viable suitor can be enough to lure potential victims into letting their guards down.
The FBI, however, has a few tips for online daters that could protect them from scammers, or even help them sniff out a scam before it’s too late.
- Protect your information: Limit the information that you share online to avoid making yourself a potential target.
- Do your research: When you meet/match with someone, search their name online to confirm their identity. Look for photos and social media accounts that prove your match is legitimate.
- Keep initial communication on the dating app: Try to avoid ditching the app and taking the conversation to text message too quickly.
- Avoid financial discussions: Be wary of anyone who starts to ask questions about your finances or investments. Such discussions shouldn’t take place until you have confirmed your potential suitor is legitimate and an earnest relationship has begun.
- Meeting in person: You should be very suspicious of anyone who seems apprehensive about taking the relationship offline. If your potential suitor seems to make excuses to avoid seeing you in person, that could be a red flag.
- Never send money: Never, under any circumstances, send money to someone you've met online and have not met in person.
If you suspect you’ve been scammed and have lost money, report the fraud to your bank and law enforcement immediately. The quicker you report the fraud to your bank, the easier it may be for the bank to reverse the fraudulent transactions. Same thing with law enforcement — the quicker you report the crime to local police and the FBI, the easier it may be for authorities to trace, seize or freeze the stolen money.
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