As the crypto sector advances with rapid adoption, there has been an equally distressing surge in crypto crimes in the U.S., especially against senior citizens, as per a report prepared by the Federal Bureau of Investigation (FBI).
According to an annual report for 2024 prepared by the Internal Crime Complaints Center (IC3) of the FBI, there has been a total of $9.3 billion in losses due to crypto frauds last year, marking a staggering 66% surge as compared to 2023 data.
The year 2024 saw close to 150,000 complaints related to crypto cyber fraud registered at the IC3, among whom a staggering 35% of complainant victims were elderly citizens. According to the data, a total of 19,317 complaints came from people in the age group 50-59 years, while 33,369 complaints had come from persons above 60 years of age.
The elderly citizens in U.S. have collectively lost $4 billion in 2024.
How senior citizens in U.S. lost money to crypto crimes in 2024?
According to the annual report prepared by IC3 of the FBI, senior citizens accounted for the majority share of victims in almost every category of crypto crimes.
As per the data, the scammers have mostly used the techniques of high-return promises on fake crypto investments to commit the fraud. They have also implemented the Ponzi schemes. The scammers have also used threats to expose personal information. The fraudsters have also instructed victims to deposit cash into crypto ATMs, converting it to the cryptocurrency that is sent to the scammers’ control wallets.
Scammers have also used the techniques of social engineering, such as building trust through pig-butchering and then tricking the victims into investing in fake schemes. These scams have contributed to overall crypto fraud.
Cryptocurrency Investment Fraud
According to the FBI, a total of 41,557 complaints were registered in 2024 related to cryptocurrency investment fraud cases, totaling a loss of $5.8 billion. The year 2024 alone saw a rise of 29% in complaints and 47% in total losses related to investment fraud cases.
Among the complainants, people from the age group (50-59) and those above 60 accounted for 14,407 complainants, leading to a loss of $2.4 billion. That is a staggering 50% of the total fraud amount in cryptocurrency investment cases being attributed to only elderly victims.
Scammers have used tricks like fake investment apps, posing as tech support, or pretending to be romantic partners to convince people to send cryptocurrency. These scams, often called “pig butchering,” build trust before stealing money. Older adults over 60 were hit hardest, losing $2.8 billion to crypto frauds, especially through fake romance and investment schemes.
Cryptocurrency ATMs/Kiosks Fraud
When it comes to Bitcoin ATMs or crypto ATM fraud, a total of 10,956 complaints were received in 2024, out of which elderly victims accounted for 3,023 complaints. The total loss emerging from Crypto ATM fraud amounted to $246.7 million, out of which elderly people lost $112 million, which is 50% of the amount.
Cryptocurrency related Extortion/Sextortion
As per FBI report, a total of 54,936 complaints were registered related to cryptocurrency extortion or sextortion cases. Here also, elderly people accounted for over 33,000 complaints with over $900 million in losses.
Which U.S. cities accounted for the maximum complaints from senior citizens?
California receives the most complaints from elderly people, with a total of 18,091. Florida comes in second, with a count of 11,902. Texas has a count of 9,473. Arizona has a count of 6,683. And the overall loss is highest in California, followed by Texas. Florida and New York.
The overall complaints per 100K citizens are more in Alaska, with a count of 914.5. The District of Columbia comes in second with a count of 549.1. Indiana comes in third with a count of 341.7. Nevada has 328.0 counts.
Safety Tips for Senior Citizens against Crypto Crimes
Nowadays, scammers are using various methods and the latest technologies to commit scams. Scammers are sharing fake links and documents in emails, making them appear as legitimate communications. They are also using social media to create beneficial contacts, build trust, and then implement the scams.
And many senior citizens are not aware of the trending new technologies. Hence, seniors should stay cautious and be aware of emerging technologies, ask questions, and lean on trusted people when dealing with cryptocurrency.
Scammers prey on trust and urgency, so taking your time and verifying everything is your best defense. And further, if you have been scammed, don’t feel ashamed; report it right away to increase the chance of recovering your money.
Also Read: How did North Korea steal 800 Million in Cryptocurrencies in 2024?
