Crypto Fraud Ecosystem Hits $12.4 Billion as AI, Pig Butchering Powers New Scams

Cryptocurrency scams are on track to reach an unprecedented $12.4 billion in 2024, with artificial intelligence and sophisticated investment schemes driving the surge, according to new data from blockchain analytics firm Chainalysis.Crypto Investment Scams Set to Hit Record $12.4 Billion in 2024The firm's latest report reveals that cryptocurrency-based fraud has already accumulated $9.9 billion in illicit proceeds this year, with high-yield investment schemes and "pig butchering" scams accounting for more than 83% of all crypto fraud revenues.High-yield investment scams remained the dominant form of crypto fraud, representing 50.2% of all scam revenue in 2024. However, these schemes saw a 36.6% decline from the previous year as fraudsters increasingly shifted toward more elaborate "pig butchering" operations, which grew by nearly 40% year-over-year.“While education is important, we can’t educate our way out of this problem, but change is possible by putting regulation in place to protect consumers,” commented Clark Flynt-Barr, government affairs director, financial security at AARP.In August of last year, Chainalysis reported that hackers had stolen nearly $1.6 billion in cryptocurrency over the first eight months of 2024—almost matching the total amount stolen throughout 2023.1/10 Today, we published our scams section of our Crypto Crime Report, revealing that 2⃣0⃣2⃣4⃣ is set to be a record-year for scammers. What else did we find? We’ve pulled some of the most interesting figures in the

Feb 17, 2025 - 13:02

Crypto Fraud Ecosystem Hits $12.4 Billion as AI, Pig Butchering Powers New Scams

Cryptocurrency scams are on track to reach an unprecedented $12.4 billion in 2024, with artificial intelligence and sophisticated investment schemes driving the surge, according to new data from blockchain analytics firm Chainalysis.

Crypto Investment Scams Set to Hit Record $12.4 Billion in 2024

The firm's latest report reveals that cryptocurrency-based fraud has already accumulated $9.9 billion in illicit proceeds this year, with high-yield investment schemes and "pig butchering" scams accounting for more than 83% of all crypto fraud revenues.

High-yield investment scams remained the dominant form of crypto fraud, representing 50.2% of all scam revenue in 2024. However, these schemes saw a 36.6% decline from the previous year as fraudsters increasingly shifted toward more elaborate "pig butchering" operations, which grew by nearly 40% year-over-year.

“While education is important, we can’t educate our way out of this problem, but change is possible by putting regulation in place to protect consumers,” commented Clark Flynt-Barr, government affairs director, financial security at AARP.

In August of last year, Chainalysis reported that hackers had stolen nearly $1.6 billion in cryptocurrency over the first eight months of 2024—almost matching the total amount stolen throughout 2023.

1/10 Today, we published our scams section of our Crypto Crime Report, revealing that 2⃣0⃣2⃣4⃣ is set to be a record-year for scammers. What else did we find? We’ve pulled some of the most interesting figures in the