By Mark Hunter
3 days agoThu Jun 19 2025 09:32:58
Reading Time: 2 minutes
- The Department of Justice has filed a civil forfeiture complaint targeting over $225 million in cryptocurrency tied to a “pig butchering” fraud
- Investigators used blockchain analysis to trace a sophisticated laundering network that spread stolen funds across hundreds of thousands of transactions
- Federal agencies have seized assets connected to more than 400 victims, marking the largest crypto forfeiture in U.S. Secret Service history
A sweeping federal operation has targeted more than $225 million in cryptocurrency believed to be the proceeds of large-scale “pig butchering” scams. Using advanced blockchain tracing, law enforcement says the funds were laundered through an intricate network to obscure their origins, with over 400 suspected victims identified. The operation has been hailed as a major success by authorities who are making serious headway in disrupting such scams, with Tether praised for its help in isolating the funds.
Hundreds of Thousands of Transactions Identified
In a complaint filed June 18 in the U.S. District Court for the District of Columbia, the Department of Justice (DOJ) described a scheme that “executed hundreds of thousands of transactions” to obscure money taken from victims of so-called “cryptocurrency confidence scams.” The action names more than $225.3 million in crypto held across multiple blockchain addresses, with the network of wallets used to launder illicit funds by dispersing them widely, making it difficult to trace their origins.
Authorities say investigators relied heavily on blockchain analytics and collaboration with blockchain companies such as Tether, which offered “proactive assistance in this investigation.” in a blog post revealing the seizure, Tether said that its assistance in the matter “builds on Tether’s broader efforts to lead the digital asset industry in compliance, transparency, and global crime prevention.”
With the complaint lodged, federal authorities will seek judicial approval to permanently forfeit the seized crypto assets, while victims are encouraged to lodge claims through the DOJ.
Federal Agencies Praise Breakthrough
Matthew R. Galeotti, Head of DOJ’s Criminal Division, emphasized the impact of the complaint, saying, “This is the latest action taken by the Department to protect the American public from fraudsters specializing in cryptocurrency-based scams…” Galeotti added that such schemes “harm American victims, costing them billions of dollars every year, and undermine faith in the cryptocurrency ecosystem.”
U.S. Attorney Jeanine Pirro for the District of Columbia underscored local leadership in these efforts, stating that her office is “taking a leading role in the fight against crypto-confidence scams… with the eye toward making victims whole.” Special Agent Shawn Bradstreet of the U.S. Secret Service San Francisco Field Office noted that the seizure represents the largest cryptocurrency seizure in U.S. Secret Service history, with more than 400 victims collectively losing millions of dollars in this scheme. Last year alone, cryptocurrency investment fraud cost consumers over $5.8 billion in losses.
