Authorities Sieze Millions Linked to Pig Butchering Scams
In a groundbreaking move, law enforcement in the Asia-Pacific region has frozen nearly $47 million in USDT connected to infamous pig butchering scams. This effort involved key players like Chainalysis, Tether, Binance, and OKX.
Pig butchering scams are a scam where criminals trick peopel into investing in fake opportunities after gaining their trust. The investigation used Chainalysis’ tools to trace funds moved between November 2022 and July 2023.
Investigators found that some victims made multiple transfers within a single month, while others continued sending money for up to seven months. The stolen funds were first consolidated in one wallet before being spread across five wallets.Scammers sent back small amounts to keep victims hooked.
- Chainalysis mapped the scam network and worked with exchanges and authorities.
- Tether froze the funds in June 2024.
- binance and OKX confirmed links between wallets and scam activity.
This action mirrors a U.S. case in late 2023. At that time, Tether and OKX helped the Department of Justice freeze $225 million linked to human trafficking and romance scams.
These scams initially targeted Asian victims but now impact people worldwide, causing billions in annual losses. In 2024 alone, they wiped out $3.6 billion from the crypto industry.
The crypto world faces many threats.losses from scams and hacks so far this year have exceeded $3.1 billion. Strengthening industry-wide security practices and educating users are key to reducing exposure.
Collaboration between industry members and law enforcement is vital for ensuring a safer crypto surroundings.
