$2.12M Crypto Wallet Seized Amid 'Pig-Butchering' Scam Investigation
The U.S. government has seized a crypto wallet holding approximately $2.12 million in USDT, allegedly linked to a massive investment scam known as 'pig-butchering'.
The scammers used dating apps, WhatsApp, social media, and phony job offers to reach victims, who were then guided to fake cryptocurrency investment platforms promising guaranteed returns.
Investigations revealed that the platforms showed fictitious profits to entice larger deposits from victims, who eventually lost significant sums of money when they tried to withdraw their funds. However, due to the fraudulent nature of the platforms, the withdrawals never took place.
The U.S. Department of Justice claims that the USDT is subject to forfeiture under federal law as it represents the proceeds of wire fraud and money laundering.