TLDR
- Americans lost $9.3 billion to crypto fraud in 2024, a 66% increase from 2023
- People over 60 were most affected, suffering $2.8 billion in losses despite being only 17% of the population
- Elderly victims lost an average of $83,000, four times the overall average for online crimes
- Crypto ATM fraud complaints increased by 99% from 2023 to 2024
- The FBI’s “Operation Level Up” has saved potential victims approximately $285 million
The Federal Bureau of Investigation’s Internet Crime Complaint Center (IC3) revealed in its annual report that Americans lost a staggering $9.3 billion to cryptocurrency fraud in 2024. This represents a 66% increase from the $5.6 billion lost in 2023, highlighting the growing threat of crypto scams across the country.
The report, released on April 23, shows that the IC3 received more than 140,000 complaints involving cryptocurrency throughout 2024. While crypto fraud affected Americans of all ages, elderly citizens bore the brunt of these scams.
Individuals over the age of 60 filed 33,369 crypto-related complaints, accounting for $2.8 billion in losses. This means seniors suffered 30% of all crypto fraud losses despite representing only about 17% of the U.S. population.
Senior Citizens Most Vulnerable
The average loss for victims over 60 reached an alarming $83,000 per person. This figure is more than four times the overall average loss of $19,372 for other online crimes, according to the FBI.
B. Chad Yarbrough, operations director at the FBI’s criminal and cyber division, addressed this issue in the report. “The criminals Americans face today may look different than in years past, but they still want the same thing: to harm Americans for their own benefit,” he wrote.
Investment fraud was the largest category affecting seniors, accounting for $1.6 billion in losses for this age group. These schemes typically involve promises of high returns with little or no risk, targeting retirement funds and life savings.
The FBI notes that the actual number of victims is likely higher than reported. Many victims never contact law enforcement, creating an incomplete picture of crypto fraud’s true scale.
Rising Trend in ATM Fraud
Another concerning development is the rapid rise in crypto ATM and kiosk fraud. Complaints related to these schemes almost doubled from 2023 to 2024, with a 99% increase in reported incidents.
These convenient but often poorly understood exchange points have become a major target for scammers. The FBI reported that 2,674 individuals over the age of 60 contacted them regarding $107 million in losses specifically through crypto ATM schemes.
In these scams, fraudsters typically request payment and direct victims to withdraw money from their financial accounts, such as investment or retirement funds. Victims are then instructed to deposit the cash into crypto ATMs, converting their money into cryptocurrency that is sent to the scammer’s wallet.
FBI Response and Broader Impact
The FBI has taken steps to combat the rising tide of crypto fraud. Their “Operation Level Up” initiative, launched in January 2024, identifies and notifies potential victims of crypto investment fraud.
The bureau estimates that this operation has saved approximately $285 million since its inception. However, the challenge remains substantial as scammers adopt more sophisticated techniques.
Beyond investment schemes and ATM fraud, the report highlighted other common crypto scams. “Sextortion” schemes, where fraudsters manipulate photos and videos to create explicit content, generated the highest number of complaints.
The total losses from all forms of online fraud reached $16.6 billion in 2024, with cryptocurrency scams representing a major portion of this figure. Ransomware also continued to be a pervasive threat to critical infrastructure, with complaints rising 9% from 2023.
Blockchain analytics firm Chainalysis offers a sobering perspective on the future. They speculate that 2025 could see the largest number of scams to date, as generative AI makes these operations “more scalable and affordable for bad actors to conduct.”
Globally, the problem extends far beyond U.S. borders. Chainalysis estimated that there had been roughly $41 billion in illicit crypto volume in 2024, with approximately 25% of these funds involved in “hacking, extortion, trafficking, or scams.”
Some high-profile examples include the $1.4 billion stolen from the Bybit exchange in March and North Korean hackers taking more than $1.3 billion throughout the year.
As cryptocurrency adoption continues to grow, the need for better consumer education and protection becomes increasingly urgent. The FBI’s report serves as a stark reminder of the risks associated with this emerging financial technology, particularly for vulnerable populations like the elderly.
