US Government Recovers $7 Million in Crypto Fraud Case
Authorities in Virginia have announced that $7 million in proceeds from the fraudulent scheme have been recovered through civil asset forfeiture, and they are now inviting affected individuals to come forward and claim their funds.
The scam, which targeted investors through deceptive websites mimicking legitimate cryptocurrency platforms, involved a manipulative social engineering strategy. Fraudsters built trust with their victims before luring them into investments in crypto assets. Victims believed their investments were growing, but when they tried to withdraw, the scammers pressured them into sending even more money by falsely claiming tax debts on their earnings.
The Department of Justice (DOJ) first began seizing assets linked to the fraud in mid-2023, with the recovery efforts ultimately resulting in the release of $7 million for victim compensation. Victims of this fraudulent scheme can now apply for the restitution process, which has been made possible through the civil forfeiture settlement reached by U.S. authorities.
Editorial Team
Reporter at Coindoo
