Americans reported losing a staggering $11.366 billion to cryptocurrency-related scams in 2025, a 22% increase from the previous year and the highest total on record, according to the FBI's annual Internet Crime Complaint Center report released Monday.

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The figure, drawn from 181,565 complaints involving cryptocurrency, accounted for more than half of the nearly $21 billion in total cyber-enabled crime losses reported to the IC3 last year. Cryptocurrency investment scams alone drove $7.228 billion in losses, making them the single most costly fraud category tracked by the agency.

The surge highlights the growing sophistication of digital asset scams, which often blend social engineering, fake investment platforms and promises of quick riches with emerging technologies like artificial intelligence. Overall, the IC3 received more than 1 million complaints in 2025, up from about 860,000 the year before, with losses rising 26% to approximately $20.87 billion.

"Cryptocurrency remains the preferred method of payment for many fraud schemes because of its perceived anonymity and the difficulty in recovering funds once transferred," the FBI stated in its press release accompanying the report.

Investment Scams Dominate Losses

Crypto investment fraud, frequently referred to as "pig butchering" schemes, topped the list with 61,559 complaints and $7.228 billion stolen — a 25% increase in losses and 48% rise in complaints from 2024. Scammers typically initiate contact via text messages, social media, dating apps or online advertisements, then move victims to private messaging platforms. Victims are lured into fake investment groups or apps showing fabricated profits, sometimes encouraged to take loans to invest more.

When victims attempt withdrawals, funds vanish. Many schemes now incorporate AI-generated content, deepfake videos or chatbots to build trust and maintain long-term relationships with targets.

Recovery scams added another layer of harm, generating $1.4 billion in losses across 10,516 complaints. These often target previous victims by impersonating government officials, law firms or "recovery experts" promising to retrieve lost crypto for upfront fees.

Crypto ATM and kiosk fraud also grew sharply, with 13,460 complaints and $389 million lost — a 58% jump in losses. Scammers convince victims to deposit cash into machines or scan QR codes to send funds, frequently targeting older adults.

Seniors Hit Hardest

Adults aged 60 and older suffered disproportionately. This group filed 44,555 crypto-related complaints and lost $4.432 billion — nearly 40% of total crypto losses. The average loss per complaint involving cryptocurrency was $62,604, with 18,589 victims reporting losses exceeding $100,000.

Younger age groups were not immune. Those aged 50-59 lost $1.383 billion, while the 40-49 bracket reported $924.6 million. Losses spanned all demographics, but the elderly's higher vulnerability to social engineering tactics amplified the toll.

California, Texas, Florida, New York and Oregon led states in reported crypto losses, consistent with population size and high adoption rates of digital assets.

Broader Cybercrime Picture

The 2025 IC3 report painted a grim portrait of online threats. Investment fraud as a broader category generated $8.65 billion in losses, with crypto playing a central role in 72% of those cases. Tech support scams and government impersonation schemes also increasingly demanded payment in cryptocurrency.

AI-related complaints exceeded 22,000, with adjusted losses topping $893 million. Scammers used generative tools to create convincing phishing emails, voice clones and fraudulent websites.

Ransomware and business email compromise remained serious threats, though they accounted for smaller shares of total reported losses compared to consumer-facing investment scams.

The FBI emphasized that reported figures likely understate the true scale, as many victims never file complaints due to embarrassment, lack of awareness or the belief that recovery is impossible.

FBI Response and Prevention Efforts

The agency has ramped up proactive measures. Operation Level Up, launched in 2024, has notified more than 8,000 potential victims of ongoing crypto investment scams and helped prevent over $500 million in additional losses. The initiative uses data analytics to identify at-risk individuals and intervene before funds are fully transferred.

In 2026, the FBI introduced Operation Winter SHIELD to bolster digital security awareness among organizations and individuals.

Law enforcement continues to pursue international partnerships, as many large-scale crypto scams originate from organized groups in Southeast Asia and other regions. Sanctions and takedowns have targeted some networks, but the decentralized nature of cryptocurrency and rapid evolution of tactics make enforcement challenging.

The FBI urged the public to verify investment opportunities independently, avoid sending crypto to unsolicited contacts and report suspicions immediately through ic3.gov.

Industry and Regulatory Context

The record losses come as cryptocurrency markets have matured, with Bitcoin and other assets gaining mainstream acceptance. Yet the same accessibility that draws legitimate investors also attracts fraudsters.

Regulators, including the Securities and Exchange Commission and state attorneys general, have increased scrutiny of crypto platforms and promoted investor education. Some platforms have enhanced anti-fraud tools, but critics argue more must be done to address the "Wild West" perception of digital assets.

Consumer advocates called for stronger "know your customer" rules, mandatory reporting of suspicious transfers and clearer warnings on exchanges and social media platforms where scams proliferate.

For victims, recovery remains difficult. Once cryptocurrency is sent to a scammer-controlled wallet, tracing and seizing funds requires international cooperation and technical expertise. Many losses are permanent.

Lessons and Warnings for 2026

As crypto adoption grows and AI tools become more accessible to criminals, experts predict continued pressure on losses unless prevention efforts scale rapidly. The FBI's report serves as both a stark warning and a call to action.

"Education remains our best defense," one senior FBI official noted. "If it sounds too good to be true — especially when it involves quick crypto profits — it almost certainly is."

With total cybercrime losses approaching $21 billion in a single year, the human and economic cost extends far beyond the dollar figures. Families face financial ruin, retirees lose life savings and trust in emerging technologies erodes.

The 2025 numbers underscore a sobering reality: as cryptocurrency moves from fringe investment to mainstream financial tool, the scams exploiting it have scaled accordingly — leaving billions in shattered dreams in their wake.