U.S. DOJ Files to Seize $225M in Crypto After Major Secret Service Bust

Federal agencies in the United States are taking steps to seize around $225.3 million in cryptocurrency tied to a global network of fraudulent investment operations. The coordinated action involved the Department of Justice, the Secret Service, the FBI, and the U.S. Attorney’s Office in Washington, D.C.

The move stems from an extensive investigation into digital asset scams, in which criminals allegedly used blockchain technology to conceal the origin of stolen funds. The assets were spread across several wallets linked to fake investment platforms, which lured victims with promises of legitimate crypto opportunities.

U.S. Agencies Trace Global Scam

Investigators say the fraud involved a massive number of blockchain transactions, executed to obscure the movement of illicit funds. By applying blockchain tracing tools, authorities were able to identify wallet addresses tied to various crimes. These include theft, money laundering, and fraud.

The victims of these schemes are spread worldwide. Many come from the United States, and over 400 individuals are from other countries. Most were deceived into transferring large sums to platforms that posed as legitimate crypto ventures. In reality, these platforms formed part of an organized effort to drain funds from unsuspecting users.

In response to the widespread impact, federal prosecutors in Washington have reaffirmed their commitment to addressing crypto-related crimes, particularly those involving international actors. They emphasized that recovering stolen assets and securing compensation for victims remains a key objective.

The attempted seizure stands out as a landmark case for the U.S. Secret Service, marking its largest crypto recovery operation. It also reflects enhanced coordination among federal agencies in the fight against digital financial crime.

Surging Crypto Scams

The enforcement action comes when crypto fraud is on the rise. According to the FBI’s Internet Crime Complaint Center, Americans lost more than $5.8 billion to crypto investment scams in 2024 alone. The rising figures underscore the widespread and damaging nature of such schemes.

This growing threat is also evident in recent blockchain data. A new analysis from blockchain intelligence firm Certik reported that over $300 million was stolen in May through phishing, scams, and security breaches. The report highlighted that vulnerabilities in smart contracts were the primary cause of these losses. This has resulted in over $229 million in damages.

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