The US Federal Bureau of Investigation (FBI) has released its annual report, revealing a significant increase in cybercrime activity across the country. In 2024, total losses from cybercrimes reached a staggering $16.6 billion, based on over 859,000 complaints submitted to the Internet Crime Complaint Center (IC3).
Of particular concern is the sharp rise in cryptocurrency-related scams, which accounted for $9.3 billion in reported losses. This represents a substantial jump from the $5.6 billion recorded the previous year and was fueled by nearly 150,000 complaints.
B. Chad Yarbrough, operations director of the FBI’s Criminal and Cyber Division, emphasized the growing role of cryptocurrencies in digital fraud, enabling criminals to mask transactions and evade detection.
Investment scams involving cryptocurrencies, particularly those employing “pig butchering” tactics, were the primary contributors to last year’s losses. These scams entail scammers forming fake emotional connections with victims before persuading them to invest in fraudulent crypto platforms, resulting in losses of approximately $5.8 billion in 2024.
Additionally, cybercriminals have been increasingly utilizing crypto ATMs and QR codes in scams related to tech support and phony government officials. These schemes led to an additional $247 million in losses by deceiving victims into transferring crypto funds directly to scammers, often with convincing appearances of legitimacy.
A concerning trend highlighted in the report is the targeting of older Americans in crypto scams. Victims aged 60 and above filed 33,369 complaints related to cryptocurrencies in 2024, resulting in losses exceeding $2.8 billion. The average loss per senior victim was around $83,000, significantly higher than the overall average reported for cybercrimes.
To combat this escalating threat, the FBI has implemented various initiatives to safeguard vulnerable individuals. Operation Level Up, for example, focuses on identifying and aiding victims of crypto investment fraud and has helped prevent or recover approximately $285 million in losses.
Yarbrough emphasized the FBI’s proactive efforts in collaborating with the private sector to prevent losses and minimize harm to victims. By dismantling fraud and money laundering networks, shutting down scam operations, and disrupting illicit activities, the FBI has made significant strides in combating cybercrimes.
The report underscores the urgency of addressing the rising tide of cybercrime, particularly in the realm of cryptocurrency scams. By staying vigilant and implementing robust security measures, individuals can protect themselves from falling prey to fraudulent schemes.