US Department of Justice Moves to Seize $25 Million in Cryptocurrency Linked to International Fraud Networks

The U.S. Department of Justice has filed five civil forfeiture complaints to seize more than $25 million in cryptocurrency linked to international fraud networks. Initiated by U.S. Attorney Jeanine Ferris Pirro's Scam Center Strike Force, which has recovered over $800 million since November 2025, the action targets funds from romance scams, fake investment platforms, and recovery fraud. The schemes targeted thousands of victims in the U.S. and Canada, with laundering operations traced to China, Malaysia, and Cambodia.

DOJ cryptocurrency forfeiture action

• ▪The civil forfeiture action was filed in the United States District Court for the District of Columbia by the United States Attorney's Office.
• ▪The Department of Justice did not publicly disclose specific defendants, wallet addresses, or token types in connection with the $25 million forfeiture action.
• ▪The United States Department of Justice filed five civil forfeiture complaints on July 21, 2026, seeking to forfeit more than $25 million in cryptocurrency.

International fraud scheme operations

• ▪The fifth investigation seeks approximately $285,000 from a fee-based recovery fraud scheme that targeted a prior fraud victim.
• ▪The first investigation, initiated after Canadian authorities alerted United States agents in late 2024, seeks to forfeit approximately $10.4 million from a fraudulent investment platform scheme.
• ▪The second investigation seeks approximately $12.1 million from online romance scams that defrauded more than 200 victims.
• ▪The third and fourth investigations, reported in May 2026 and March 2026 by victims in the National Capital Region, seek approximately $1.2 million and $2.4 million respectively.

Southeast Asian laundering networks

• ▪The money laundering networks behind all five fraud investigations were predominantly operated from Southeast Asia.
• ▪Investigators traced digital infrastructure and IP addresses linked to the five fraud schemes to China, Malaysia, and Cambodia.

Scam Center Strike Force initiative

• ▪The Scam Center Strike Force was launched in November 2025 by United States Attorney Jeanine Ferris Pirro.
• ▪The Scam Center Strike Force has recovered more than $800 million in assets since its launch in November 2025.

Victim compensation process

• ▪The recovered cryptocurrency assets will undergo civil forfeiture proceedings, which may ultimately allow eligible victims to seek compensation.
• ▪The legal path from government recovery to actual victim compensation is complex, and restitution is distinct from forfeiture.