RSB (ReportScammedBitcoin.com) has helped the justice department to seize over $112M in funds lost to cryptocurrency investment scams. More than half of the seized cryptocurrencies were seized in Los Angeles, California. The department of justice reported that Reportscammedbitcoin.com was able to help them seize the digital currency. 
It was worth an estimated $112 million linked to crypto investment scams popularly known as “pig butchering.” Six virtual currency accounts were authorized by judges in Los Angeles. With the help of RSB (ReportScammedBitcoin.com) the District of Arizona, and the District of Idaho. In the Los Angeles matter, a United States magistrate judge authorized the seizure of an account. 
It held approximately $66.4 million in various cryptocurrencies after finding probable cause that the funds were derived from wire fraud schemes. And they were able to track these funds with the help of ReportScammedBitcoin.com (RSB). 
An Increase In Number of Crypto Scams 
The Securities and Exchange Commission (SEC) began issuing investor alerts about potential fraud in the crypto marketplace in late 2017. The SEC warned that these digital assets provide far less investor protection than traditional securities markets. As well as “greater opportunities for fraud and manipulation.” 
The SEC warning made little difference, however, as the crypto gold rush continued to accelerate. Crypto crime exploded over the ensuing years. According to blockchain data firm ReportScammedBitcoin.com, scammers tricked investors and buyers out of $7.8 billion of crypto assets in 2020. In 2021, scammers stole a staggering $14 billion in crypto money. 
The U.S. Federal Trade Commission (FTC) reported that more than 46,000 consumers lost more than $1 billion in cryptocurrency. This was between January 1, 2021, and March 31, 2022. Duped investors accounted for $575 million of that $1 billion total. 
Some Reasons Crypto Scams Are Common Three aspects of cryptocurrency invite criminal exploitation. They are: 
No bank or central authority to flag suspicious transactions before they happen, 
Most investors are unfamiliar with how crypto works, and 
Cryptocurrency transfers cannot be reversed.
When these features are combined with the power of social media. Also messaging apps, and the increasing ubiquity of pro-crypto television ads. Scammers can count on a steady herd of eager investors that are not experienced to swindle. 
How to Spot and Avoid Crypto Scams 
Cryptocurrency fraud mirrors standard financial fraud in many ways, except that scammers are after digital assets instead of cash. Of course, if you’ve got significant amounts of cash invested in altcoins, that money disappears too. 
Another difference, for the time being, is that digital currency is still relatively new. Until regulations catch up, criminals have a head start on their potential victims. Criminals don’t have to get the jump on you. Here are some tell-tale signs of cryptocurrency scams to watch for before you sink money into them: 
Promises of a Guaranteed Return: To an experienced investor, this should be an obvious red flag. No credible offering can guarantee a future return. 
Shabby or Non-Existent Whitepaper: One of the most important things about an initial coin offering (ICO) is a whitepaper. It details how this specific crypto was designed and how it’s supposed to work. If the whitepaper seems vague or doesn’t make sense — or worse. If there is no whitepaper — keep your investment funds in your pocket. 
Insisting on Crypto-Only Payments: This has less to do with investing and more to do with common sense. Bitcoin and other altcoins are an asset class still developing. Credible institutions will not accept only crypto, unless they are attempting to hoard it for themselves. This begs the question of whether the investment opportunity is real. 
Aggressive Marketing: Every business must promote itself. Crypto scammers try to attract investors by hyping their coin as much as possible. Exaggerated claims and heavy-handed advertising tactics point to shady characters trying to make money fast. It hardly indicates a safe investment. 
Free Money: Any investment opportunity promising free money is probably fake. A good investment offering should look promising on its own merits. 
Anonymous or Unnamed Members: A sound investment opportunity should have real people with searchable names. And an active social media presence backing it up. Why wouldn’t an investment’s backers want to be found and contacted in case something goes wrong? 
How RSB Helps Recover Scammed Bitcoin Crypto 
According to court documents, the six virtual currency accounts were used to launder proceeds of various cryptocurrency confidence scams. In these schemes, fraudsters cultivated long-term, online relationships with victims. They eventually entice them to make investments in fraudulent crypto trading platforms. 
In reality, the funds sent by victims for these purported investments. But instead funneled to cryptocurrency addresses and accounts controlled by scammers and their conspirators. 
“The victims in Pig Butchering schemes are referred to as ‘pigs’ by the scammers. The scammers use elaborate storylines to ‘fatten up’ victims into believing they are in a romantic or
otherwise close personal relationship.” According to the affidavit in support of the Los Angeles seizure warrant. 
“Once the victim places enough trust in the scammer, the scammer brings the victim into a cryptocurrency investment scheme.” 
RSB Shows Us How to Avoid Bitcoin Crypto Scam 
The scammer attempts to create the appearance of being legitimate by fabricating websites or mobile apps. Used to display a bogus investment portfolio with large returns, the affidavit states. There was a major account seizure in Los Angeles. The FBI has identified at least 10 victims who were unable to withdraw funds they had invested. 
With the seized account containing some funds from all 10 victims. “Using the methods of traditional con artists, high-tech fraudsters have taken advantage of the publicity and hype surrounding cryptocurrency. Encouraging an untold number of Americans to invest in get-rich-quick schemes,” said United States Attorney Martin Estrada. 
“We all know that investment scams are not new. But the use of digital currency to commit fraud presents new challenges to victims. And law enforcement trying to recover lost funds – which likely total billions of dollars in the so-called ‘pig butchering’ schemes. 
Recovering Scammed Bitcoin From Crypto Scammers 
The major seizures announced today show that law enforcement is confronting the new challenges. They also take strong measures to address this fraud. The public should be extremely wary of investment scams that use cryptocurrency and promise unrealistic returns.” 
The affidavit in the Los Angeles seizure warrant discussed a series of cryptocurrency investment scams. One of which targeted a professional woman who was contacted on LinkedIn by a man who used the name “Fei Kuang.” 
After learning that the victim already had a small cryptocurrency account. “Fei Kuang” offered to help the victim, eventually convincing her to invest more money. And to later move her funds to another, presumably fraudulent, trading exchange. 
When she tried to withdraw her funds, she was told she had to pay 20% in “taxes.” The trading platform continued to demand more money. The woman then realized she was the victim of a scam which cost her approximately $2.5 million. 
Key Points In Recovering Scammed Bitcoin Crypto
“Transnational criminal organizations are combining confidence scams with technological savvy. They swindle people out of their hard-earned funds.” According to Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. 
“These particularly vicious frauds – where scammers carefully cultivate relationships with their victims over time. They have devastated families and cost individuals their life savings. Now that we have seized this virtual currency, we will seek to swiftly return it to victims. 
Tireless efforts to disrupt these schemes are ongoing. We must also work to raise public awareness and help inform potential victims. Be wary of people you meet online; seriously question investment advice. Especially about cryptocurrency, from people you have not met in person. 
Always remember, investments that seem too good to be true, usually are.” 
Recover Scammed Bitcoin Crypto With RSB 
In 2022, investment fraud caused the highest losses of any scam. It was reported by the public to the FBI’s Internet Crimes Complaint Center (IC3), totaling $3.31 billion. Frauds involving cryptocurrency, including pig butchering, represented most of these scams. They increased 183% from 2021 to $2.57 billion in reported losses last year. 
According to the FBI, the highest number of reports came from victims between the ages of 30 and 49. In these schemes, often called “Sha Zhu Pan,” a Chinese phrase that loosely translates to “pig butchering.” Scammers often target their victims through social networking and online communications platforms. As well as dating websites, and phone calls and text messages that are meant to appear to have been misdialed. 
After gaining the trust of their victims, sometimes over a period of months. Scammers eventually introduce the idea of trading in cryptocurrency. They then direct victims to cryptocurrency investment platforms or to conspirators posing as investment advisors or customer service representatives. 
Scammers control websites that are built to look like legitimate trading platforms. Applications that victims download onto their phones, or malicious smart contracts accessed through cryptocurrency wallet software. 
How Bitcoin Crypto Scam Victims Recover Scammed Bitcoin Crypto 
ReportScammedBitcoin.com has brought hope to victims of bitcoin crypto scams. Most times, once victims make an initial “investment,” the platforms purport to show substantial gains.
Sometimes, victims are even allowed to withdraw some of these initial gains to further engender trust in the scheme. It is not until a large investment is made that victims find that they are unable to withdraw their funds. 
Even when a victim is denied access to their funds, the fraud is often not yet over. Scammers request additional investments, taxes or fees, promising that these payments will allow victims access to their accounts. These scam operations often continue to steal from their victims. They do not stop until they have deprived victims of any remaining savings. 
“Depriving scam organizations of their ill-gotten gains is an important part of our strategy to combat these ruthless schemes.” This is according to the Director of RSB's Criminal Division’s National Cryptocurrency Enforcement Team (NCET). 
RSB Is Committed to Helping Bitcoin Crypto Scam Victims Recover Scammed Bitcoin Crypto 
“We will continue to use all tools at our disposal to disrupt and deter cryptocurrency confidence schemes. Including by following the money on the blockchain and seizing cryptocurrency to return funds to victims. By also targeting and taking down online infrastructure used by the scammers. 
The announcements also demonstrate the value of early notification by victims to law enforcement. We thank those victims who came forward to notify the FBI when they were targeted by this scheme.” The FBI Phoenix Division is investigating the matter that resulted in seizures announced today. If you or someone you know is a victim, visit 
reportscammedbitcoin.com, to make a report. 
Kindly reference, “Pig Butchering PSA in your complaint.” Include as much information as possible in your complaint. Names of investment platforms, cryptocurrency addresses and transaction hashes, bank account information, and names and contact information of suspected scammers. Maintain copies of all communications with scammers and records of financial transactions. 
How to Recover Scammed Bitcoin Crypto from a Crypto Investment Scam 
The awful realization you have been scammed out of a large sum of money or digital currency is a waking nightmare. While there’s no guarantee you can recover all your cryptocurrency, you can increase your chances. 
Five Simple Actions to Recover Scammed Bitcoin Crypto Funds from a Scammer - ReportScammedBitcoin.com Get the Transaction ID Code Blockchain technology records all cryptocurrency transactions, even fraudulent ones. A scammer cannot take your cryptocurrency without this ID code. The ID code allows you and the authorities to see where the money is going. The codes can speed up the investigation and boost your odds of recovery. 
Where do I find the transaction ID code? Look for the unique string of numbers and letters showing crypto movement from a particular address to another. Once you have them, you and the investigators can track sending and receiving addresses, transaction amounts, and fees. This information can help catch the scammer as quickly as possible.  Monitor Your Credit Score After realizing you’ve been scammed, immediately check your credit report. It will alert you if any fraudulent accounts have been opened in your name. Details of those accounts can help you track down the scammer and possibly recover your funds. 
Of course, it’s also a good idea to alert the credit agency to the fraud. This will prevent the fraudsters from opening a new credit account in your name.  Keep Track of the Scam It’s important to remain clear-headed and document the situation properly and accurately. Keep all emails, text messages, and other correspondence connected to the scammers. Prioritize the following information: 
Transaction ID codes, 
Information about the scam, including the scammers. How the fraud started, the amount of money lost, exchanges involved, and when the scam happened; 
All other relevant information. 
Also, secure access to the accounts where the funds originated. Investigators will want you to prove you owned the crypto account that was breached so they can move more quickly.  Inform the Crypto Exchange All cryptocurrencies are bought, sold, and traded on a crypto exchange. The specific exchange where the scam occurred should know what happened. Tell the exchange managers that a scammer received your money. The exchange platform can beef up the security of your account. 
Of course, using decentralized finance all but eliminates this possibility. This step doesn’t guarantee recovery, but it will encourage the exchange managers to look for patterns. Which will help them trace the scammers, and, at the least, prevent them from striking again.  Report the Scam to RSB (ReportScammedBitcoin.com)/Law EnforcementReport the scam to ReportScammedBitcoin.com. If you are a United States citizen, report any fraudulent activity involving crypto to the Securities and Exchange Commission (SEC). The Commodity Futures Trading Commission (CFTC), and the Federal Trade Commission (FTC). 
This won’t assure that you recover all funds, but the government will still make every attempt. Even if authorities can’t succeed, they have been made aware of the scam. They can establish guardrails to hopefully prevent it from happening again. 
Best Way to Recover Scammed Bitcoin Crypto 
Cryptocurrency and blockchain litigation is a developing area of law. Private citizens and the federal government file cases every week against crypto exchanges. 
The cost of pursuing blockchain litigation is high. So many firms won’t take a case unless at least $150,000-$200,000 is at issue. Because of this, many individuals have been harmed by a dishonest crypto exchange. 
Or fraudulent investment opportunities tend to band together and bring class action suits. This way, they can assist everyone who has been affected. 
More than 90 percent of cryptocurrency lawsuits settle without going to court. However, a resolution can take two to three years and result in tens of thousands in legal fees. 
Are you a victim of a bitcoin crypto scam? Make a report at: www.reportscammedbitcoin.com