More than $5.6 billion, including nearly $100 million in Massachusetts, was lost in cryptocurrency schemes in 2023, according to a report by the FBI.
In 2023, there were more than 69,000 complains from the public to the FBI’s Internet Crime Complaint Center regarding cryptocurrency. There were 1,216 complaints in Massachusetts, which was in the top 20 states for highest complaints.
The highest number of complains came from California, which lost more than $1 billion in the schemes.
“Since cryptocurrencies eliminate the need for financial intermediaries to validate and facilitate transactions, criminals can exploit these characteristics to support illicit activity such as thefts, fraud, and money laundering,” the report stated.
The schemes, the FBI said, range from tech support to romance to government impersonation scams. However, investment fraud was the most reported cryptocurrency scheme in 2023, the report stated. There were about $3.9 billion in reported losses, which means people have “accumulated massive debt to cover losses from these fraudulent investments,” the report stated.
“Scams targeting investors who use cryptocurrency are skyrocketing in severity and complexity,” said FBI Director Christopher Wray in a statement.
People between the ages of 30-49 filed the most cryptocurrency-investment fraud complaints, according to the report. But people over the age of 60 have reported the highest losses, more than $1.24 billion.
The FBI encourages people to submit complaints through ic3.gov, even if there wasn’t a financial loss.
