U.S Department Of Justice Seizes $9M in Tether, Unravels Extensive Cyber Fraud Network

by Nik Asti

Published: November 24, 2023 at 1:08 am Updated: November 24, 2023 at 1:14 am

by Victor Dey

Edited and fact-checked:
November 24, 2023 at 1:08 am

In Brief

The US Department of Justice confiscated $9 million in Tether’s USDT linked to a pig butchering crypto scam.

Justice Department Seizes $9M in Tether Unraveling Extensive Cyber Fraud Network

The U.S. Department of Justice has announced a significant breakthrough in the fight against cybercrime, seizing nearly $9 million in Tether cryptocurrency.

These funds were traced back to addresses linked to an organization. This organization engaged in romance and cryptocurrency confidence scams, also known as “pig butchering.”

Unraveling the Complex Fraud Scheme

The fraudsters misled their victims by creating fake investment platforms, coaxing them to invest in cryptocurrencies.

In reality, these platforms did not exist. The fraudsters quickly moved the victims’ funds through dozens of cryptocurrency addresses in a process known as “chain hopping,” to disguise the true origin and ownership of the funds.

Implications of the Case for Future Cybercrime Fighting

This case highlights the determination and vigilance of the Justice Department and the U.S. Secret Service in combating cyber financial frauds.

The actions of law enforcement demonstrate their readiness to use all available means. Their goal is to hold fraudsters accountable and restore justice for victims.

Authorities urge victims of cryptocurrency scams and other internet frauds to report these incidents. They should make their reports to the FBI’s Internet Crime Complaint Center (IC3) and the Federal Trade Commission’s Consumer Sentinel Network.

This case serves as a reminder of the risks associated with digital currencies and the need for caution in online financial transactions.

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About The Author

Nik is an accomplished analyst and writer at Metaverse Post, specializing in delivering cutting-edge insights into the fast-paced world of technology, with a particular emphasis on AI/ML, XR, VR, on-chain analytics, and blockchain development. His articles engage and inform a diverse audience, helping them stay ahead of the technological curve. Possessing a Master’s degree in Economics and Management, Nik has a solid grasp of the nuances of the business world and its intersection with emergent technologies.

Nik Asti