US DOJ Freezes $701M in Crypto Tied to Investment Fraud Operations

The strike force said it intends to return recovered funds to victims where possible.

Crypto News

The U.S. Department of Justice announced Thursday that it has frozen more than $701 million in cryptocurrency connected to investment fraud operations targeting Americans as part of the work of its Scam Center Strike Force and partner law enforcement agencies.

The cryptocurrency was restrained through a combination of voluntary actions by crypto exchanges and formal legal processes, according to the U.S. Attorney's Office for the District of Columbia. The strike force said it intends to return recovered funds to victims where possible.

As part of the same operation, authorities seized a Telegram channel that scam operators had used to recruit unsuspecting job seekers for a fraudulent crypto investment center. An additional 503 fake crypto investment websites were taken down and replaced with law enforcement seizure notices.

Criminal complaints and arrest warrants were also unsealed against two individuals accused of managing a crypto fraud operation at a compound in a region experiencing ongoing geopolitical tensions. The U.S. Department of State separately announced a $10 million reward for information leading to the disruption of scam centers operating in the same region.