US authorities have seized more than $25 million in cryptocurrency linked to international fraud schemes that targeted investors across the United States and Canada. The action, disclosed on July 21, 2026, shows the growing effectiveness of law enforcement in tracing and recovering funds moved through complex blockchain networks by transnational criminal groups.
The United States Department of Justice, in coordination with the U.S. Secret Service, carried out these operations under the Scam Center Strike Force launched in late 2025. In November, I announced the creation of our Scam Center Strike Force to lead the charge. In only three months, we have made significant progress, freezing, seizing, and forfeiting cryptocurrency worth more than $580 million from these criminals,
The initiative has already enabled the recovery of over $800 million from similar fraud rings. Investigators have concentrated on dismantling money laundering networks, many of which are based in Southeast Asia. Launderers were predominantly located in Southeast Asia, with IP addresses traced to China, Malaysia, and Cambodia.
Major Seizures Under Scam Center Strike Force
The U.S. Attorney’s Office for the District of Columbia filed five civil forfeiture complaints targeting cryptocurrency recovered during separate fraud investigations. These cases illustrate various scam tactics, including fake investment platforms, romance scams, and recovery frauds.
Key details from the investigations include:
- Investigation 1: Approximately $10.4 million from a large network of wallet addresses flagged by Canadian authorities, involving over 270 suspected victim transactions on fraudulent investment platforms.
- Investigation 2: Around $12.1 million linked to online romance schemes affecting more than 200 victims, with funds laundered through hundreds of intermediary addresses.
- Investigation 3: About $1.23 million from a victim in the National Capital Region deceived by a fraudulent cryptocurrency investment scheme.
- Investigation 4: Roughly $2.39 million involving multiple victims on the same fraudulent platform.
- Investigation 5: Approximately $285,000 from a recovery scam where victims were tricked into paying additional fees.
The Strike Force has continued to identify funds involved in money laundering from scam centers and collectively the U.S. Attorney’s Office, the Department’s Criminal Division, and their partners have restrained more than $700 million in cryptocurrency alleged to be tied to money laundering from cryptocurrency scams.
Broader Crackdown on Crypto-Enabled Fraud
These efforts align with other recent actions, including a Massachusetts civil forfeiture case recovering over 327,000 USDT tied to a romance fraud targeting a local resident. Funds were moved through multiple wallets to conceal their criminal origins.
The Department of Justice, through U.S. Attorney Jeanine Ferris Pirro and Assistant Attorney General A. Tysen Duva of the Criminal Division, together with its partners, today announced a series of coordinated actions by the Scam Center Strike Force against Southeast Asian criminal organizations operating scam centers that have defrauded Americans of billions of dollars.
In parallel, federal prosecutors indicted a California pair for operating a darknet drug trafficking ring (“HotGirlzClub”) that distributed fentanyl and methamphetamine while laundering hundreds of thousands in crypto proceeds. Globally, INTERPOL’s Operation First Light 2026 led to 5,811 arrests across 97 countries and intercepted $293 million in illicit assets from various social engineering and investment scams.
Rising Threat and Victim Impact
According to the FBI’s 2025 IC3 Report, cryptocurrency fraud remains a massive problem, with reported losses reaching about $11.4 billion across over 181,000 complaints. Investment scams dominated, and adults aged 60 and older suffered nearly 39% of the crypto-related losses despite filing fewer complaints.
Authorities continue to urge anyone who suspects they have been targeted to report promptly through official channels like ic3.gov or local Secret Service offices. Investigations into these networks are ongoing, with a focus on identifying perpetrators and returning funds to victims where possible. This wave of enforcement reflects a heightened global push against digital fraud as criminals increasingly turn to cryptocurrency to exploit victims and launder gains.
