3.11[Security, Custody & Trust](https://wealtii.com/learn) # Common Crypto Scams in 2026: 8 Types and How They Work By [Zayd Ahmed](https://wealtii.com/editorial-policy#zayd-ahmed), Founder & CEO, Wealtii · Published 12 February 2026 · Last reviewed 21 October 2026 The most **common crypto scams** are investment fraud such as pig butchering, rug pulls, fake exchanges and apps, impersonation and fake support, giveaway scams, phishing and wallet drainers, pump-and-dump schemes and recovery scams. Americans reported $11.4 billion in crypto-related losses to the FBI in 2025, with investment fraud the largest share. This page explains how each scam type works. For a quick list of warning signs to check before you invest, use our [crypto scam red-flag checklist](https://wealtii.com/learn/crypto-scams-and-red-flags). ## How much money do crypto scams cost? | Measure (United States) | Reported figure | Source | | --- | --- | --- | | Complaints involving cryptocurrency, 2025 | 181,565 complaints; $11.37 billion lost (up 22% on 2024) | FBI IC3 2025 report | | Crypto losses, 2024 (for comparison) | 149,686 complaints; $9.3 billion lost | FBI IC3 2024 report | | Crypto investment fraud, 2025 | 61,559 complaints; $7.23 billion lost | FBI IC3 2025 report | | Victims aged 60 and over, crypto, 2025 | 44,555 complaints; $4.43 billion lost | FBI IC3 2025 report | | All fraud reported to the FTC, 2025 | 3 million reports; $15.9 billion lost, of which investment scams $7.9 billion | FTC, March 2026 | These are reported losses only. Many victims never file a report, so the true totals are likely higher. ## What are the main types of crypto scams? ### 1. Pig butchering (relationship investment fraud) The FBI describes these as long-term scams run largely by organised criminal groups in Southeast Asia, often staffed by trafficking victims forced to work. Contact starts with an unexpected text, a social media message, an advert or a dating app, then moves to a private messaging app. After building trust, the scammer introduces a trading platform or app that shows fake profits, may offer loans to invest more, and finally demands "taxes" or "fees" before any withdrawal. ### 2. Rug pulls A team launches a token or decentralised finance project, attracts deposits with hype, then withdraws the liquidity, mints new tokens to sell, or abandons the project. Warning signs include anonymous developers, liquidity that is not locked, a contract that lets the owner mint or block selling, and most of the supply held by a few wallets. ### 3. Fake exchanges and investment apps These are websites and apps built to look like real trading platforms. Your balance appears to grow, but no trading happens and the deposit address belongs to the scammer. They often sit at the end of a pig butchering scheme. Before depositing more, check whether a platform is registered with the financial regulator where you live, whether you can withdraw a small amount, and whether it lets you verify its holdings, as our guide to [proof of reserves](https://wealtii.com/learn/proof-of-reserves-explained) explains. ### 4. Impersonation and fake customer support Scammers pose as exchange support, banks, tech companies or government agencies, claim your account or identity is at risk, and tell you to move money to a "safe" crypto address or pay through a crypto ATM. Tech and customer support scams involving crypto caused $1.23 billion in reported losses in 2025, and government impersonation with a crypto link a further $281 million (FBI IC3). The FTC's rule of thumb is simple: only scammers demand payment in cryptocurrency. ### 5. Giveaway and "double your crypto" scams A hijacked social account or a deepfake livestream of a well-known founder or celebrity promises to send back twice whatever you transfer. Nothing comes back. No genuine giveaway asks you to send crypto first. ### 6. Phishing and wallet drainers Fake login pages, airdrop claims and support chats steal passwords and recovery phrases or trick you into signing approvals that empty a wallet. See [how to recognise phishing attacks](https://wealtii.com/learn/recognizing-phishing-attacks) for examples and defences. ### 7. Pump-and-dump schemes Promoters buy a thinly traded token, hype it through Telegram groups, paid influencers or fake news, and sell into the buying they create. The price then collapses, leaving late buyers with the losses. The scheme is old in penny stocks; crypto versions move faster because a token can be created and listed on a decentralised exchange in minutes. ### 8. Recovery scams Victims of an earlier scam are contacted by "recovery experts", fake law firms or people impersonating government agencies who promise to retrieve the lost funds for an upfront fee. The FBI received 10,516 recovery-scam complaints in 2025, with $1.4 billion in reported losses (a figure that may include the original scam). An August 2025 FBI alert warns that no law firm is an authorised partner of US government agencies and that the government does not charge for law enforcement services. ## How do the scam types compare? | Scam | Usual first contact | Key tell | | --- | --- | --- | | Pig butchering | Text, dating app, social media | A new online friend recommends a trading platform | | Rug pull | Token launch hype | Unlocked liquidity, owner-controlled contract | | Fake exchange or app | Link from a contact or ad | Withdrawals blocked until you pay a fee | | Impersonation | Phone call, pop-up, email | Demand to move money or pay via crypto ATM | | Giveaway | Social media, livestream | "Send 1, get 2 back" | | Phishing or drainer | Email, ad, direct message | Request for recovery phrase or unexpected approval | | Pump-and-dump | Group chat, influencer | Coordinated hype for an obscure token | | Recovery scam | Unsolicited contact after a loss | Upfront fee to recover funds | ## Where should you report a crypto scam? - **United States:** file with the FBI at ic3.gov and the FTC at ReportFraud.ftc.gov. - **Elsewhere:** your national police cybercrime or fraud reporting service and your financial regulator. - **The platforms involved:** the exchange that received the funds, and the social network or app where contact started. Keep transaction hashes, wallet addresses and screenshots of every conversation. Our guide on [steps to take after crypto theft](https://wealtii.com/learn/what-to-do-if-hacked) covers securing what is left. ### Checking any platform, including Wealtii Ask three questions of any crypto service: is it regulated where you live, can you verify its holdings, and does it promise returns? Wealtii is not regulated (see our [regulatory status](https://wealtii.com/regulatory-status)), its fund assets sit in a public multi-signature vault you can check on BscScan via the [Wealtii transparency page](https://wealtii.com/transparency), and it does not promise returns: crypto can lose value. ## Frequently Asked Questions ### What is the most common crypto scam? By reported losses, cryptocurrency investment fraud is the biggest. The FBI received 61,559 crypto investment fraud complaints in 2025 with $7.23 billion in losses. Many of these are pig butchering schemes, where a scammer builds trust over weeks and then steers the victim to a fake trading platform. ### What is a pig butchering scam? Pig butchering is a long-con investment fraud. A stranger makes contact by text, social media or a dating app, builds a friendship or romance, then introduces a crypto or gold trading platform that shows fake profits. When the victim tries to withdraw, they are told to pay taxes or fees first, and the money is never returned. ### Can you get money back after a crypto scam? Rarely. Blockchain transfers cannot be reversed, though funds that reach a centralised exchange or a stablecoin issuer can sometimes be frozen if you report quickly to the FBI at ic3.gov and to the exchange involved. Be wary of anyone who contacts you offering recovery for a fee, because recovery scams target past victims. ### Why do scammers ask for payment through crypto ATMs? Crypto ATMs turn cash into cryptocurrency sent straight to the scammer, which is fast and hard to reverse. Impersonators posing as government agents, banks or tech support often direct victims to them. The FBI logged 13,460 complaints involving crypto ATMs and kiosks in 2025, with $389 million in losses. ## Sources & References 1. [FBI Internet Crime Complaint Center — 2025 Internet Crime Report](https://www.ic3.gov/AnnualReport/Reports/2025_IC3Report.pdf) (accessed 21 Oct 2026) 2. [FBI Internet Crime Complaint Center — 2024 Internet Crime Report](https://www.ic3.gov/AnnualReport/Reports/2024_IC3Report.pdf) (accessed 21 Oct 2026) 3. [FBI IC3 — Fictitious Law Firms Targeting Cryptocurrency Scam Victims (I-081325-PSA, 13 Aug 2025)](https://www.ic3.gov/PSA/2025/PSA250813) (accessed 21 Oct 2026) 4. [FTC — Testimony on the agency's efforts to combat fraud (25 Mar 2026)](https://www.ftc.gov/news-events/news/press-releases/2026/03/ftc-testifies-joint-economic-committee-agencys-efforts-combat-fraud) (accessed 21 Oct 2026) 5. [FTC — What To Know About Cryptocurrency and Scams](https://consumer.ftc.gov/articles/what-know-about-cryptocurrency-and-scams) (accessed 21 Oct 2026) Disclaimer: This content is for educational purposes only and does not constitute financial, tax, or legal advice. Digital assets are volatile and carry risk of loss. Wealtii is early-stage and not regulated. ## Further reading from official sources - [CISA: Secure Our World](https://www.cisa.gov/secure-our-world) - [NIST: Digital Identity Guidelines](https://pages.nist.gov/800-63-3/) [Zayd Ahmed](https://wealtii.com/editorial-policy#zayd-ahmed) Founder & CEO, Wealtii Computer Science Engineer | 5+ Years in DeFi & Digital Assets ## Compare Wealtii's three index funds Crypto, tokenized gold and tokenized US stocks from $10, with 0% platform fees during our early-adopter promotion. Wealtii is not regulated and digital assets can lose value — read the [risk disclosure](https://wealtii.com/risk-disclosure) first.