Cryptocurrency Fraud Trends Statistics 2025: Analyzing Trends and Prevention Measures

In late 2024, Mark thought he was making a smart move. Like many others, he believed cryptocurrency was the future. A social media influencer he trusted shared what seemed to be a golden opportunity—a “no-risk” investment platform promising 15% weekly returns. Mark invested $10,000. Within weeks, the platform and his money vanished. His story isn’t unique.

Cryptocurrency fraud is evolving fast, and scammers are becoming more sophisticated. As the crypto market matures in 2025, understanding fraud trends is crucial for investors, regulators, and the broader public. This article breaks down the latest cryptocurrency fraud statistics and insights to help you stay informed and protected.

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• $14.5 billion worth of cryptocurrency was stolen globally through scams and fraud in 2024, marking a 23% increase from 2023.
• 31% of cryptocurrency fraud cases in 2024 involved phishing attacks, targeting both individuals and organizations.
• The US accounts for 24% of all reported cryptocurrency fraud cases worldwide, making it the top target country in 2025.

• Social media platforms are linked to 53% of crypto fraud schemes uncovered in 2024, with Telegram and Instagram being the most exploited.
• Rug pulls accounted for 34% of DeFi-related crypto fraud losses in 2024, resulting in over $2.9 billion in stolen assets.
• AI-generated deepfake scams surged by 900% between 2023 and 2025, especially impersonating crypto founders and influencers.
• Victims aged 25 to 40 represented 61% of cryptocurrency fraud reports in 2024, highlighting a shift toward targeting tech-savvy young adults.
  

Global Cryptocurrency Fraud Statistics Overview

• In 2024, cryptocurrency fraud incidents worldwide totaled 58,200 cases, an increase from the 47,000 cases reported in 2023.
• Total crypto crime revenue, including fraud, reached $24.2 billion in 2024, compared to $20.6 billion in 2023.
• North America and Western Europe combined accounted for 45% of global crypto fraud losses in 2024.
• Ponzi and pyramid schemes involving crypto investments scammed more than 1.2 million people globally in 2024.
• Chainalysis reports that $5.9 billion was lost to crypto-related scams in 2024, with DeFi platforms making up roughly 55% of the total.
• $1.1 billion was stolen from centralized exchanges due to fraud and security breaches in 2024.
• The average loss per victim in cryptocurrency fraud cases rose to $12,400 in 2024, compared to $9,800 in 2023.
• Fraudulent crypto wallets and mobile apps saw a 67% increase in downloads, tricking unsuspecting users into handing over their private keys.
• Fake crypto investment platforms accounted for 40% of fraud cases reported to Interpol in 2024.
• The United Nations Office on Drugs and Crime (UNODC) estimates that crypto fraud and laundering networks moved over $10 billion in 2024 through privacy coins like Monero and Zcash.
  

Crypto Transaction Volume Linked to Illicit Activity

• The share of crypto transaction volume linked to illicit activity peaked at 0.70% in 2020 and dropped to 0.14% by 2024.
• Despite fluctuations, including a rise to 0.61% in 2023, the overall trend shows a decline in illicit crypto activity over the five-year period.

Cryptocurrencies Present an Attractive Opportunity for Fraudsters

• The pseudo-anonymous nature of cryptocurrencies makes it difficult for law enforcement to trace transactions, with over 90% of fraud cases using privacy tools like mixers.
• Decentralized finance (DeFi) platforms were the primary targets for crypto fraudsters in 2024, contributing to 57% of total stolen funds.
• Unregulated or poorly regulated exchanges facilitated $7.4 billion in fraudulent crypto transactions in 2024, up 28% from 2023.
• Fraudsters exploited smart contract vulnerabilities in DeFi protocols, leading to $1.7 billion in losses in 2024.
• Crypto Ponzi schemes often promise returns of 20% to 30% per month, luring inexperienced investors seeking quick profits.
• Ransomware payments in cryptocurrencies totaled $1.3 billion in 2024, with 70% being routed through non-KYC exchanges.
• Impersonation scams using deepfake videos of well-known crypto entrepreneurs surged by 800%, manipulating victims into fake token sales.
• Pump and dump schemes involving low-cap altcoins caused $560 million in losses among retail investors in 2024.
• Influencer-led scams, where fraudsters collaborate with social media personalities to endorse fake crypto projects, increased by 42% last year.
• The FBI reported a 63% rise in fraudulent ICOs (Initial Coin Offerings) in 2024, many of which disappear after raising funds.
  

Bitcoin Price vs. Fraud Attempts

• The Bitcoin price (USD$) (shown in purple) exhibits an upward trend from September 2023 through March 2024, followed by fluctuations and a gradual decline by September 2024.
• Fraud attempts (depicted in blue) show a spike during December 2023 and June 2024, often rising sharply when Bitcoin prices are high.
• There’s a noticeable correlation where increased Bitcoin prices tend to coincide with higher fraud activity.
• Fraud attempts remain volatile throughout the year, with peaks and troughs, while the Bitcoin price maintains a more gradual movement.

Most Common Types of Cryptocurrency Fraud

• Phishing attacks remain the most common tactic, responsible for 31% of crypto fraud cases in 2024.
• Rug pulls, where developers abandon DeFi projects after raising funds, accounted for $2.9 billion in stolen crypto in 2024.
• Fake crypto exchanges scammed over 420,000 victims in 2024, with users losing access to their funds after making deposits.
• Investment scams promised high-yield returns, scamming investors out of $5.5 billion globally in 2024.
• Ponzi schemes involving Bitcoin and Ethereum generated $3.2 billion in fraudulent gains for perpetrators in 2024.
  Airdrop scams that trick users into revealing private keys or downloading malicious software rose by 70% in 2024.
• Crypto wallet scams, often disguised as legitimate apps, stole over $150 million from users in 2024.
• Mining scams, where companies claim to offer cloud mining services, cost investors $500 million globally in 2024.
• SIM swap attacks led to the theft of over $100 million in cryptocurrencies by hijacking two-factor authentication methods.
• Pump and dump groups on Telegram and Discord orchestrated scams resulting in $740 million in losses in 2024.

Predicted Average Loss Per Victim in Cryptocurrency Scams (2021 – 2025)

• In 2021, the average loss per victim in cryptocurrency scams was $18,000.
• Losses increased to $26,000 in 2022, marking a 44% rise from the previous year.
• By 2023, the average loss climbed to $28,000, continuing the upward trend.
• Predictions for 2025 estimate that the average loss will reach $38,000, indicating a more than double increase compared to 2021.

Scammers Increasingly Rely on Social Media to Reach Targets

• In 2024, 53% of cryptocurrency scams were initiated through social media platforms like Instagram, Telegram, and Twitter (X).
• Meta’s platforms, including Facebook and Instagram, accounted for 35% of reported crypto scam leads.
• Telegram hosted more than 1,200 active scam channels offering fake airdrops and investment opportunities in 2024.
• Fraudulent YouTube livestreams pretending to be Bitcoin giveaways tricked viewers out of $90 million in 2024.
• TikTok crypto scams targeting Gen Z investors grew by 120%, often using fake testimonials and influencer collaborations.
• WhatsApp group scams led to $240 million in stolen crypto in 2024, mainly through fraudulent trading schemes.
• LinkedIn-based recruitment scams, where victims are offered crypto-related job opportunities but end up defrauded, increased by 56%.
• Fake celebrity endorsements, including impersonations of Elon Musk and Vitalik Buterin, accounted for 28% of crypto scam attempts in 2024.
• Deepfake videos featuring crypto influencers on Instagram drove $370 million in scam-related losses in 2024.
• Reddit crypto subforums reported a 40% increase in phishing attempts disguised as wallet support or recovery services.

Crypto Scam Revenue by Sub-Class

• High-yield investment/Trading scams dominated, accounting for 50.2% of total crypto scam revenue.
• Pig butchering scams made up a significant 33.2%, highlighting their growing prevalence.
• Crypto drainer scams contributed 9.5% to the total scam revenue.
• Rug pulls were responsible for 4.0% of the losses.
• Address poisoning scams accounted for 1.1%, while Other scams added another 1.0%.
• Imposter scams made up 0.7%, and Employment scams were at 0.3%.
• Live stream scams represented the smallest share at just 0.1%.

Cryptocurrency Fraud by Region

• North America accounted for $7.2 billion in cryptocurrency fraud losses in 2024, marking a 21% increase from 2023.
• The United States alone reported over 18,400 cases of crypto-related scams in 2024, making it the region with the highest number of incidents.
• Europe saw cryptocurrency fraud losses totaling $4.6 billion in 2024, with the UK, Germany, and France among the hardest-hit nations.
• Asia-Pacific experienced $5.1 billion in crypto fraud losses in 2024, with China and India accounting for 62% of cases.
• Latin America reported a 38% rise in cryptocurrency scams in 2024, with Brazil and Argentina seeing the largest increases.
• In Africa, crypto fraud incidents rose by 27%, with Nigeria leading the region with over 9,500 cases in 2024.
• Middle Eastern nations like the UAE and Saudi Arabia saw a 19% increase in fraudulent activities related to crypto trading platforms.
• Australia reported $221 million in cryptocurrency losses in 2024, an 18% increase from 2023, primarily due to investment scams.
• Russia emerged as a hotbed for crypto-related ransomware operations, facilitating over $1.4 billion in illicit crypto transactions in 2024.
• Canada reported $347 million in crypto scam losses in 2024, with a significant uptick in fraud cases involving deepfake recruitment scams.

Fraud Rate Surge Across Regions (2023 vs 2024)

• The global fraud rate increased by 48%, rising from 1.5% in 2023 to 2.2% in 2024.
• Africa saw the highest surge, with fraud rates jumping 112% from 1.7% to 3.6%.
• In the US & Canada, fraud rates grew by 86%, reaching 2.6% in 2024.
• Middle East fraud rates rose 79%, from 1.4% to 2.5%.
• LATAM & Caribbean experienced a 50% increase, hitting 1.5% in 2024.
• Europe’s fraud rates climbed 31%, moving from 1.0% to 1.3%.
• Only APAC saw a decline, with rates dropping 23%, from 2.6% to 2.0%.

Notable Cryptocurrency Fraud Cases

• In March 2024, the BitBridge Ponzi scheme collapsed, defrauding over $1 billion from 45,000 global investors.
• The Globix crypto scam in 2024 resulted in $212 million in losses, predominantly affecting investors in Europe and Asia.
• In July 2024, the SafeTradeFX scam was exposed for operating an unlicensed crypto exchange that stole $650 million from users worldwide.
• The Fintoch scandal in 2024 involved the alleged disappearance of $31.6 million in investor funds from a DeFi platform.
• The PlusToken case, still under trial in 2025, remains one of the largest scams in history, having defrauded $4.3 billion between 2018 and 2020, with additional laundering uncovered in 2024.
• Africrypt founders were arrested in 2024 after stealing over $1.7 billion, one of Africa’s largest crypto heists to date.
• In December 2024, CoinX.ai, posing as an AI-driven trading platform, disappeared with $300 million in customer assets.
• The Thodex exchange founder was sentenced in 2024 to 11,196 years in prison for fraud involving $2 billion in user assets.
• In February 2025, a deepfake scam impersonating a Binance executive tricked a US firm into transferring $25 million in cryptocurrency.
• The BitClub Network fraud, with its $722 million scam operation, saw new indictments and asset recovery efforts in 2024.

Confidence in the Safety and Security of Cryptocurrency

• Among all informed adults, 59% express low confidence (26% very unconfident, 33% somewhat unconfident) in cryptocurrency security.
• Never-owners are the most skeptical, with 77% lacking confidence (41% very unconfident, 36% somewhat unconfident).
• Current owners show the highest confidence, with 60% feeling positive (47% somewhat confident, 13% very confident) about cryptocurrency security.

Financial Impact of Cryptocurrency Fraud

• Global cryptocurrency fraud losses hit $14.5 billion in 2024, a 23% rise compared to $11.8 billion in 2023.
• Retail investors bore 71% of the total financial losses in crypto scams, equaling over $10 billion in 2024.
• Institutional investors lost approximately $2.7 billion to sophisticated crypto frauds and hacking incidents in 2024.
• The average loss per fraud case involving DeFi platforms rose to $145,000 in 2024, a 12% increase from 2023.
• Crypto-related phishing attacks resulted in $1.8 billion in losses worldwide in 2024, driven by sophisticated email and SMS scams.
• Fraudulent crypto investment schemes caused $5.9 billion in losses in 2024, many of which targeted older investors aged 55 and up.
• The US Federal Trade Commission (FTC) reported that crypto fraud represented 42% of all reported payment method scams in 2024.
• Losses due to SIM-swapping attacks targeting crypto wallets totaled $320 million in 2024, disproportionately impacting high-net-worth individuals.
• Crypto ATM fraud cases in 2024 resulted in $29 million in losses in the United States, with scams often involving fake IRS agents and law enforcement impersonators.
• Law enforcement seizure operations recovered $2.4 billion worth of stolen crypto assets in 2024, a 17% increase from the prior year.

Cryptocurrency Fraud Detection and Prevention Techniques

• Blockchain analysis firms like Chainalysis and Elliptic assisted in uncovering over $4 billion in fraudulent crypto transactions in 2024.
• AI-powered transaction monitoring tools identified 85% of suspicious crypto activities before they resulted in significant financial loss.
• KYC (Know Your Customer) enforcement by regulated exchanges increased by 42%, making it harder for scammers to move funds anonymously.
• Multi-signature wallet adoption surged by 63% among DeFi platforms in 2024 to enhance fund security.
• Biometric verification tools, including facial recognition, reduced fake account creation on major crypto platforms by 70% in 2024.
• Smart contract audits increased by 58%, helping to prevent exploits that previously led to $1.7 billion in DeFi theft in 2024.
• Real-time fraud detection algorithms prevented $1.2 billion in potential losses in 2024, especially in crypto exchanges and wallet providers.
• Two-factor authentication (2FA) adoption grew by 78% among crypto traders, helping to reduce account breaches by 54%.
• Cold wallet storage solutions became the standard for institutional investors, with 69% moving assets offline in 2024 to mitigate hacking risks.
• Education campaigns by regulators and platforms reached over 50 million crypto users globally in 2024, emphasizing fraud awareness and prevention best practices.

Regulatory Measures Addressing Cryptocurrency Fraud

• The US Securities and Exchange Commission (SEC) launched 25 enforcement actions against fraudulent crypto projects in 2024, a 32% increase from 2023.
• The European Union’s MiCA regulation, enforced in 2024, requires crypto exchanges to conduct mandatory KYC and AML compliance, significantly reducing fraud risks.
• Japan’s Financial Services Agency (FSA) implemented stricter controls on crypto asset custody, leading to a 24% drop in fraud reports.
• The UK Financial Conduct Authority (FCA) blacklisted over 400 unauthorized crypto firms in 2024, preventing them from operating in the country.
• Australia’s Treasury passed a Crypto Licensing Framework in 2024, introducing stricter consumer protection measures.
• Dubai’s Virtual Assets Regulatory Authority (VARA) issued 20 new licenses under its crypto regulation in 2024, focusing on fraud prevention.
• South Korea mandated real-name accounts and local bank tie-ins for crypto trading in 2024, reducing anonymous trading by 67%.
• The FATF (Financial Action Task Force) updated its Travel Rule guidance for VASP (Virtual Asset Service Providers), ensuring cross-border data sharing for transactions over $1,000.
• The IMF (International Monetary Fund) advised developing countries on crafting tailored crypto fraud regulations in 2024, emphasizing consumer education.
• Canada’s FINTRAC fined two major exchanges $8 million in 2024 for failing to meet AML requirements, sending a strong compliance message to the industry.

Role of Blockchain Technology in Combating Fraud

• Immutable blockchain records helped investigators trace over $5 billion in stolen cryptocurrency in 2024.
• Decentralized identity solutions gained traction, reducing fraudulent account creation on DeFi platforms by 47% in 2024.
• Zero-knowledge proofs (ZKPs) were adopted by 15% of crypto exchanges in 2024, offering enhanced privacy without compromising security.
• Blockchain analytics tools improved fraud detection accuracy by 75% through advanced pattern recognition algorithms in 2024.
• Token provenance tracking became standard in NFT marketplaces, cutting counterfeit NFT scams by 33% in 2024.
• Smart contracts with built-in audit trails prevented over $800 million in fraudulent transactions in 2024.
• Decentralized autonomous organizations (DAOs) implemented voting-based fraud detection systems, reducing fraudulent proposal approvals by 50%.
• Interoperable blockchains facilitated cross-chain fraud monitoring, identifying $900 million in suspicious asset transfers in 2024.
• Open-source blockchain forensic tools, such as GraphSense, saw a 60% adoption rate among government agencies and investigators in 2024.
• Distributed ledger technology (DLT) pilots by central banks, including the European Central Bank, explored fraud-resistant CBDCs (Central Bank Digital Currencies) in 2024.

Impact of AI and Deepfake Technology on Cryptocurrency Fraud

• AI-generated deepfakes have been implicated in $380 million worth of cryptocurrency fraud cases in 2024, a staggering 900% increase from 2023.
• Deepfake scams featuring impersonations of prominent crypto figures like Elon Musk and Vitalik Buterin became the fifth most common fraud type in 2024.
• AI-enhanced voice cloning technology was used in at least 140 reported crypto fraud cases, resulting in over $75 million in investor losses.
• AI-driven phishing emails successfully bypassed traditional spam filters in 62% of cases, leading to increased vulnerability in 2024.
• Synthetic identity fraud, using AI to create legitimate-seeming profiles, accounted for 28% of fraudulent crypto exchange registrations in 2024.
• Generative AI was responsible for 42% of scam promotional content on social media platforms related to cryptocurrency investments in 2024.
• Fake AI crypto trading bots promised guaranteed returns and scammed investors out of $530 million globally in 2024.
• AI-powered malware designed to steal private keys and wallet access credentials was deployed in 3,400 unique attacks in 2024.
• AI tools were used to automate pump and dump schemes, artificially inflating altcoin prices before orchestrating mass sell-offs, causing $490 million in losses.
• Deepfake video conferences were used to lure companies into fake token sale investments, with one notable $25 million loss reported in early 2025.

Victim Demographics and Behavior Patterns

• Victims aged 25 to 40 represented 61% of cryptocurrency fraud cases in 2024, up from 54% in 2023, marking them as the primary target group.
• Men accounted for 68% of reported crypto fraud victims in 2024, while women made up 32%.
• Baby Boomers (55+) lost an average of $14,600 per scam in 2024, a higher per-case loss compared to younger demographics.
• Gen Z investors aged 18 to 24 were 2.5 times more likely to be targeted by social media crypto scams in 2024.
• Victims with no prior crypto investment experience made up 49% of scam reports in 2024, highlighting the risks to new market entrants.
• Over 75% of victims did not perform any due diligence before investing in fraudulent crypto schemes in 2024.
• 80% of fraud victims reported being contacted via social media before falling for scams, with Instagram and Telegram leading the platforms.
• Investors attracted by promises of quick returns were three times more likely to fall victim to rug pulls and Ponzi schemes in 2024.
• Victims were most frequently lured by scams promising returns of 20% or higher within a month, according to FTC reports from 2024.
• First-time crypto investors were four times more likely to report a complete loss of their initial investment due to fraud in 2024.

Cryptocurrency Fraud Involving DeFi and NFT Markets

• DeFi platforms accounted for 57% of total crypto fraud losses in 2024, equaling $8.3 billion, primarily due to rug pulls and flash loan exploits.
• Rug pulls alone caused $2.9 billion in losses in DeFi markets in 2024, involving over 300 project scams.
• Flash loan attacks on DeFi protocols resulted in $970 million in stolen assets in 2024, up 22% from 2023.
• NFT-related frauds caused $1.5 billion in investor losses in 2024, often involving fake NFT collections and counterfeit art.
• Phishing scams targeting NFT holders on marketplaces like OpenSea and Blur rose by 68% in 2024.
• Fake NFT airdrop campaigns defrauded users of $290 million in 2024, often stealing wallet credentials in the process.
• Wash trading of NFTs to inflate value accounted for 27% of the total transaction volume on less-regulated NFT marketplaces in 2024.
• Stolen NFTs worth $200 million were reported across major marketplaces in 2024, with Ethereum remaining the most targeted blockchain.
• DeFi liquidity mining scams tricked investors into providing liquidity, resulting in $650 million in locked funds that developers absconded with in 2024.
• Cross-chain bridge vulnerabilities led to $1.1 billion in thefts from DeFi users in 2024, primarily due to unsecured smart contracts.

Emerging Cryptocurrency Fraud Tactics

• Pig butchering scams, a romance-scam-meets-crypto-fraud scheme, saw a 400% increase in cases reported globally in 2024.
• Deepfake video scams used in business compromise fraud led to corporate losses totaling $210 million in 2024.
• Fake crypto lending platforms promising high-interest returns defrauded investors from $620 million in 2024.
• Phantom token scams, where fake tokens were airdropped to wallets to lure users into malicious websites, rose by 92% in 2024.
• Social engineering attacks targeting crypto exchange employees to access hot wallets surged by 38%, causing $470 million in theft.
• Malware-infected browser extensions, such as fake MetaMask plug-ins, contributed to $160 million in crypto theft in 2024.
• AI-powered chatbots impersonated customer support on exchanges, scamming users out of $300 million in 2024.
• Token presale scams tricked early investors with false promises of new coin launches, leading to $550 million in losses in 2024.
• Spoofed domains for popular exchanges like Binance and Coinbase surged by 210%, tricking users into entering wallet credentials.
• QR code scams leading to malicious wallet addresses resulted in $190 million in lost funds in 2024.

Recent Developments in Cryptocurrency Fraud Investigations

• Interpol arrested over 1,500 suspects tied to international cryptocurrency fraud rings in 2024, recovering $950 million in assets.
• The FBI’s Virtual Asset Exploitation Unit successfully dismantled three major crypto Ponzi schemes totaling $1.2 billion in 2024.
• The Europol-led Operation SpecTor targeted dark web crypto crimes, resulting in 288 arrests and seizures of $53 million in crypto assets.
• China’s Ministry of Public Security reported shutting down 2,700 crypto-related fraud networks, recovering $1.8 billion in assets in 2024.
• India’s Enforcement Directorate (ED) froze $290 million in crypto assets linked to illegal loan apps and investment scams in 2024.
• The UK’s National Crime Agency (NCA) launched a new Crypto Crime Unit, leading to 15 major arrests for fraud totaling $380 million in losses.
• The US Department of Justice (DOJ) charged Sam Bankman-Fried with new wire fraud counts related to FTX, highlighting systemic issues in crypto exchange governance.
• Australia’s ASIC initiated civil proceedings against two major exchanges for failing to prevent fraudulent trading worth $440 million.
• The South Korean Supreme Court upheld a life sentence for a DeFi scammer responsible for the $1.9 billion Terra/Luna crash.
• Canada’s RCMP dismantled a $120 million crypto pyramid scheme targeting elderly investors in Quebec and Ontario in 2024.

Conclusion

Cryptocurrency fraud is no longer an emerging threat—it’s an evolving and sophisticated global challenge. As 2025 progresses, fraudsters are leveraging AI, deepfakes, and the anonymity of DeFi to target both individuals and institutions on an unprecedented scale. However, advances in blockchain forensics, global regulation, and user education are steadily closing the gap. The key to mitigating risk lies in awareness, vigilance, and leveraging robust security protocols.

For anyone engaged in crypto—whether novice or seasoned investor—staying informed is your best defense.