On Thursday, September 3, 2026, the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) revealed that it identified nearly $13 billion in financial activity tied to digital asset investment scams operated by overseas groups. This announcement comes as part of the Treasury’s ongoing efforts to safeguard Americans from financial fraud.
The report details sophisticated fraud operations, often referred to as “pig butchering,” “romance baiting,” or “cryptocurrency confidence schemes.” These scams involve criminals employing deceptive personas and social engineering tactics to manipulate victims, primarily Americans, into transferring funds into fraudulent digital asset investments. These operations are largely orchestrated by transnational criminal organizations based in Southeast Asia, which utilize industrial-scale scam compounds and extensive networks of actors to perpetrate and profit from these schemes.
Gene Lange, performing the duties of Under Secretary for Terrorism and Financial Intelligence, stated that digital asset investment scams represent one of the most significant fraud threats currently facing Americans. He highlighted how these criminal organizations exploit both technological advancements and human vulnerabilities, leading to substantial financial losses for victims.
Analysis of Bank Secrecy Act (BSA) reports between September 8, 2023, and December 31, 2025, uncovered 33,904 reports related to suspected digital asset investment scam activity, amounting to approximately $12.7 billion. These scams targeted individuals of all ages across all 50 states and several U.S. territories. The investigation revealed that perpetrators commonly used fabricated identities to pose as potential romantic partners, new friends, or business associates. They also created websites and mobile applications designed to mimic legitimate investment services to conduct their illicit activities.
Overseas scam centers are reportedly leveraging “guarantee marketplaces” to acquire illicit services, including online account creation, phishing tools, and money laundering services. Furthermore, these operators employ professional money launderers to establish financial accounts and shell companies, facilitating the movement of funds. These professional money launderers then integrate scam proceeds into the formal financial system through networks of money mules and stablecoin transfers to digital asset exchanges located outside the United States.
To combat these threats, FinCEN has identified key indicators of illicit activity linked to scam centers to assist financial institutions in detecting, preventing, and reporting suspicious behavior. The agency strongly encourages financial institutions to engage in voluntary information sharing under Section 314(b) of the USA PATRIOT Act, which offers liability protections while allowing for the exchange of information related to potential money laundering or terrorist activities.
FinCEN, acting as the U.S. financial intelligence unit, operates a Rapid Response Program to expedite the sharing of financial intelligence with international counterparts. This program encourages foreign authorities to halt and repatriate fraudulent transactions within their legal frameworks. Victims of cyber-enabled fraud are advised to immediately contact their financial institution and file a complaint with the FBI’s Internet Crime Complaint Center (IC3) or the nearest U.S. Secret Service field office.
Source: FinCEN
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