A growing number of Americans are losing thousands of dollars in schemes that scammers execute over weeks or months.
The “pig slaughter” scam gets its name from the way scammers “fatten” their victims using flattery and false ties, and the strategy has led to the theft of billions of dollars, especially in the form of cryptocurrency.
Losses from investment fraud increased 38% in 2023, the highest on record, according to an FBI study. Internet Crime ReportOf the $4.57 billion in funds reportedly stolen, $3.96 billion was linked to fraudulent cryptocurrency investments.
“I met the scammer through a dating app called Bumble and he tried to woo me for about six weeks,” said Karina, a pig slaughter victim who only gave her first name.
She met the scammer on the dating app Bumble. She previously The scammer claimed to live a lavish lifestyle and had heavily invested in cryptocurrencies, and after months of exchanging messages, he convinced her to deposit a total of $152,000 into a website that mimicked the legitimate cryptocurrency exchange Kraken.
Karina eventually traced her funds back to an exchange in Thailand and she has handed the details over to law enforcement, but the stolen funds have yet to be recovered.
Pig slaughter fraud is often carried out using forced labour in Southeast Asia, one research organisation says. Report From the U.N. And despite blockchain companies like Chainalysis tracking millions of dollars worth of stolen cryptocurrency, the trail in these cases spans multiple jurisdictions, creating obstacles for law enforcement to seize the stolen funds.
Watch the video above to learn more about how cryptocurrency scammers are convincing Americans to part with their life’s savings, and how law enforcement is trying to fight back.
