US targets $25 million in crypto tied to investment scams
Federal prosecutors are seeking the seizure of over $25 million in cryptocurrency linked to international fraud schemes, highlighting the growing scope of a dedicated US task force that has now recovered more than $800 million.
Federal prosecutors have filed five civil forfeiture complaints seeking more than $25 million in cryptocurrency tied to international romance and investment scams. The complaints were filed in the U.S. District Court for the District of Columbia and stem from separate investigations conducted by the U.S. Secret Service.
The two largest cases target $12.1 million connected to online romance schemes and $10.4 million linked to fraudulent investment platforms. Three additional complaints seek roughly $2.39 million, $1.23 million, and $285,000. To isolate these specific funds, agents traced the illicit capital across hundreds of distinct cryptocurrency wallet addresses before executing the freezes.
Investigators connected the seized assets to more than 270 suspected investment scam transactions and over 200 romance scam victims located primarily in the U.S. and Canada, including several in the Washington area. The mechanics of these schemes varied across the complaints.
In one instance, fraudsters cut off all contact after a target attempted to withdraw funds from a fake crypto investment account. Another case involved a recovery scam, where criminals contacted a prior fraud victim and promised to retrieve their lost money for a fee.
For market professionals and compliance officers, the filings underscore the rapidly advancing tracing capabilities of U.S. law enforcement within the digital asset sector. The fact that federal agents can successfully track illicit funds through hundreds of decentralized wallets and secure court orders to freeze them disrupts the risk calculus for transnational criminal networks. It demonstrates that blockchain ledgers are increasingly being weaponized by authorities rather than by scammers.
Furthermore, the persistence of large-scale romance and investment fraud continues to present a reputational headwind for the broader crypto industry. Institutional adoption relies heavily on retail trust, and high-profile seizures reinforce the narrative that digital assets remain a primary vehicle for consumer fraud. Exchanges and custodians face continuous pressure to sharpen their transaction monitoring systems to intercept these funds before they can be laundered.
The latest complaints fall under the operational umbrella of the Scam Center Strike Force. The dedicated federal task force launched in November 2025 and has now recovered more than $800 million in total, according to the U.S. Attorney’s Office. This recovery figure signals a massive, sustained federal commitment to dismantling crypto-facilitated fraud networks and actively returning capital to victims.
