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Security Report · therecord.media

FinCEN Study Finds $12.7 Billion Lost to Crypto Investment Scams

· Original article ↗

Summary

FinCEN analyzed more than 33,000 reports filed from September 2023 to December 2025, finding $12.7 billion in U.S. losses from crypto investment scams and urging financial institutions to improve vigilance and reporting.

Key points

  • FinCEN’s study drew on more than 33,000 incident reports submitted by about 1,300 financial institutions.
  • The reports described $12.7 billion in losses among victims across all U.S. states and territories.
  • FinCEN reported suspected scam activity was increasing and spreading beyond scam centers in Myanmar, Cambodia, and Laos.
  • Scammers used romantic or financial-adviser personas to persuade victims to send money by bank transfer or cryptocurrency.
  • Reports commonly involved Ethereum, USDT, and USDC; FinCEN said scammers almost always exchanged stolen funds for USDT.
  • The U.S. government sanctioned Xinbi Guarantee, a Telegram-based marketplace that TRM Labs’ Ari Redbord said had become a key platform for laundering money tied to Southeast Asian scam compounds.

Article Details

Publisher
therecord.media
Report Period
2023-09 to 2025-12
Scope
FinCEN analysis of cryptocurrency investment fraud reports involving overseas scam centers and U.S. victims.
Sample Size
More than 33,000 incident reports submitted by approximately 1,300 financial institutions.
Key Statistics
  • More than $12.7 billion in reported losses from cryptocurrency investment scams involving victims across all 50 U.S. states and territories.
  • FinCEN received nearly 11% more reports each month than in the preceding month.
  • Adults over 60 accounted for about 25% of reports.
  • Cryptocurrency firms identified about $5.5 billion in suspected scam activity; traditional banks reported about $6.4 billion in potential fraud.
  • A source quoted by the article said more than $36 billion was laundered on Xinbi Guarantee.
Recommendations
  • Financial institutions should be more vigilant in identifying and reporting schemes perpetrated by overseas scam centers.

People

Ari RedbordGlobal head of policy at TRM Labs who said Xinbi Guarantee became a go-to platform for Southeast Asia scam compounds and that more than $36 billion was laundered on it.Gene LangeTreasury Department official quoted on the financial losses and human impact of the scams.

Products

TelegramThe report also highlighted the laundering role of Telegram-based marketplace Xinbi Guarantee, which was sanctioned after helping scammers move billions from Southeast Asia scam compounds.

Countries

CambodiaScams are spreading beyond Myanmar, Cambodia, and Laos, with rising monthly reports.LaosScams are spreading beyond Myanmar, Cambodia, and Laos, with rising monthly reports.MyanmarScams are spreading beyond Myanmar, Cambodia, and Laos, with rising monthly reports.

Industries

CryptocurrencyFinCEN warned financial institutions to be more vigilant as overseas scam centers drive a surge in cryptocurrency investment fraud, with more than $12.7 billion stolen from Americans across all 50 states and U.S.

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