US Seizes $25M in Crypto Tied to Investment and Romance Scams
In brief
- US prosecutors seized $25 million in crypto tied to fraudulent investment platforms and romance schemes.
- Five civil forfeiture complaints traced illicit proceeds through intermediary wallets to Southeast Asian launderers.
- Largest case: $12.1 million from romance scams affecting 200+ victims; $10.4 million flagged by Canada.
- Scam Center Strike Force total recovery exceeds $800 million since November 2025 launch.
- Launderers traced to China, Malaysia, and Cambodia via IP address analysis.
Tracing the Laundering Network
Agents traced illicit proceeds through hundreds of intermediary wallet addresses where funds from multiple victims had been commingled. The investigation revealed a sophisticated operation spanning continents. Launderers were mostly based in Southeast Asia, with IP addresses traced to China, Malaysia, and Cambodia.
The Five Cases
The largest complaint seeks approximately $12.1 million tied to romance scams affecting more than 200 people. A second case involved about $10.4 million flagged by Canadian authorities across more than 270 suspected victim transactions. Three remaining cases ranged from $285,000 to $2.4 million, including one in which scammers posed as recovery agents—adding insult to injury by targeting victims already defrauded once.
"Investigators 'cut through complex laundering schemes' to reach the money," U.S. Attorney Jeanine Ferris Pirro said in a statement.
The Broader Context
The seizure stems from the Scam Center Strike Force, launched in November 2025 by U.S. Attorney Jeanine Ferris Pirro. The five investigations remain open, with the recovered funds bringing the strike force's total haul past $800 million.
Much crypto investment and romance fraud is operated out of forced-labor compounds in Cambodia, Myanmar, and Laos. In October, U.S. and UK authorities charged Cambodia's Prince Group and seized more than 127,000 BTC from the network—then worth about $12 billion, marking the largest civil seizure and forfeiture in DOJ history. These enforcement actions signal sustained pressure on the infrastructure enabling international scam operations.
