US Justice Department, Secret Service Seize $225M in Crypto USDT from Pig Butchering Scams with Coinbase Aid

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Published Jul 5, 2025, 06:25 PM

The U.S. Department of Justice (DOJ) and the Secret Service have filed a civil forfeiture complaint to seize over $225 million in cryptocurrency linked to global investment fraud schemes known as "pig butchering" scams. These scams, which have defrauded victims worldwide of billions of dollars, involve long-term confidence tricks where victims are lured into fake relationships or business deals before being defrauded. The seizure, which includes $225.3 million in USDT frozen with the assistance of Tether, marks the largest-ever U.S.

cryptocurrency seizure tied to such scams. The investigation was conducted in collaboration with the FBI and utilized blockchain forensics to trace the stolen funds. More than 400 victims globally have been identified, with Coinbase playing a key role in aiding the U.S. Secret Service by tracing the frozen funds and helping identify victims for restitution. The DOJ has indicated that victim compensation will now take priority over arrests in this case. The recovered funds are being returned to victims as part of this landmark law enforcement operation.

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