FinCEN Flags $12.7 Billion in Crypto Scam Activity

The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has identified $12.7 billion in suspicious financial activity linked to digital asset investment scams largely run from overseas compounds, based on nearly 34,000 reports filed over two years.

FinCEN analyzed Bank Secrecy Act reports submitted by roughly 1,300 financial institutions between September 2023 and December 2025. The reports revealed that money services businesses flagged $5.5 billion in suspicious activity, with banks accounting for $6.4 billion and securities firms reporting $784.5 million.

The scams, also known as 'pig butchering' or 'romance baiting,' use fake identities and relationships to gain victims' trust before directing them toward fraudulent crypto investments. FinCEN found that the scams affected victims across all 50 states and several U.S. territories.