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US Track 2
Financial Crimes Enforcement Network
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2409 charsFinancial Crimes Enforcement Network Identifies Nearly $13 Billion Linked to Overseas Digital Asset Scams
On September 3, 2026, the Financial Crimes Enforcement Network (FinCEN), the financial intelligence unit of the U.S. Department of the Treasury, published an alert and financial trend analysis identifying nearly $13 billion in suspected digital asset investment scam activity. FinCEN analyzed 33,904 Bank Secrecy Act (BSA) reports filed between September 8, 2023, and December 31, 2025, revealing approximately $12.7 billion in financial activity linked to suspected digital asset investment scams, commonly known as "pig butchering," "romance baiting," or "cryptocurrency confidence schemes."
FinCEN identified that transnational criminal organizations based primarily in Southeast Asia operate industrial-scale scam compounds perpetrating these sophisticated fraud operations. Criminals use fake personas and social engineering tactics to manipulate victims—often American—into transferring funds to fraudulent digital asset investments. The scams target individuals across all 50 states and several U.S. territories. FinCEN's analysis revealed that illicit actors frequently assumed false identities to pose as romantic partners, friends, or business associates, and created counterfeit websites and mobile applications imitating legitimate investment services. Scam center operators utilize "guarantee marketplaces"—online markets where they purchase illicit services including account creation, phishing, and money laundering—and employ professional money launderers to establish financial accounts, shell companies, and move funds through networks of money mules and stablecoin transfers to digital asset exchanges outside the United States.
FinCEN published an alert identifying key indicators of illicit activity to help financial institutions detect and report suspicious activity connected to scam centers. FinCEN strongly encourages financial institutions to participate in voluntary information sharing under Section 314(b) of the USA PATRIOT Act, which provides safe harbor protections from liability. FinCEN operates a Rapid Response Program to share financial intelligence with foreign financial intelligence units and encourages foreign authorities to stop and repatriate fraudulent transactions. Victims should contact their financial institution and file complaints with the Federal Bureau of Investigation's Internet Crime Complaint Center or the nearest U.S. Secret Service field office.
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2428 charsFinCEN Issues Alert on Digital Asset Investment Scams Operated by Overseas Scam Centers
On September 3, 2026, the Financial Crimes Enforcement Network (FinCEN) published a Financial Trend Analysis and an alert identifying nearly $12.7b in financial activity tied to suspected digital asset investment scams between September 2023 and December 2025. The analysis, which reviewed 33,904 Bank Secrecy Act (BSA) reports, found that scam activity is increasing at an accelerating rate, with the number of monthly reports growing by an average of 10.9 percent and the total dollar value of reported activity growing by 18 percent month-over-month during the review period.
Key findings from the analysis include:
Reporting by institution type: Money services businesses (MSBs), predominantly those in the digital asset sector, filed 55 percent of all reports (18,568 filings) involving over $5.5b in suspected scam activity. Depository institutions filed 41 percent of reports (13,810 filings) involving approximately $6.4b, while securities and futures firms filed 4.4 percent of reports (1,504 filings) involving over $784.5 million.
Victim demographics: Individuals of all ages across all 50 states and several U.S. territories were targeted. Approximately 25 percent of BSA reports involved both digital asset investment scams and elder financial exploitation, which is consistent with the proportion of older adults in the U.S. population (24.4 percent). FinCEN's analysis also found that regardless of the digital asset used in the initial investment, scammers almost always converted scam proceeds into stablecoins (almost exclusively Tether (USDT)) to launder the funds.
Common scam tactics: Scammers often use assumed identities to pose as romantic partners, friends, or business partners. They create websites, mobile apps, and encrypted platforms that imitate legitimate investment services. Victims frequently finance investments using retirement accounts, home equity lines of credit, personal loans, and other sources.
Red flags and reporting: FinCEN identified red flags to help financial institutions detect and report suspicious activity linked to scam centers. Financial institutions are encouraged to participate in voluntary information sharing under Section 314(b) of the USA PATRIOT Act and to file suspicious activity reports. Victims should contact their financial institution and file a complaint with the Internet Crime Complaint Center (IC3) or the nearest U.S. Secret Service field office.