The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has reported that approximately $13 billion in cryptocurrency-related fraud originates from overseas scam centers operating outside the United States, issuing a stark warning to investors and financial institutions.
According to the report, these scam hubs – primarily concentrated in Southeast Asia and Eastern Europe – employ sophisticated tactics, including:
· Fake trading platforms.
· Fraudulent investment schemes offering unrealistic returns.
· Impersonation of government officials and reputable companies.
· Phishing attacks targeting crypto wallets.
The report emphasized that these operations target not only individuals but also small businesses lacking robust security measures.
FinCEN urged financial institutions and exchanges to strengthen due diligence procedures, report suspicious activities promptly, and coordinate with international authorities to dismantle these cross-border criminal networks.