{"id":381494,"date":"2025-03-11T16:15:45","date_gmt":"2025-03-11T10:45:45","guid":{"rendered":"https:\/\/dripp.zone\/news\/california-shuts-down-26-crypto-scam-sites-tied-to-4-6-million-in-losses-crypto-news\/"},"modified":"2025-03-11T16:20:40","modified_gmt":"2025-03-11T10:50:40","slug":"california-shuts-down-26-crypto-scam-sites-tied-to-4-6-million-in-losses-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/california-shuts-down-26-crypto-scam-sites-tied-to-4-6-million-in-losses-crypto-news\/","title":{"rendered":"California Shuts Down 26 Crypto Scam Sites Tied to $4.6 Million in Losses – Crypto News"},"content":{"rendered":"
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California authorities ramped up their fight against crypto fraud, taking down 26 fraudulent crypto websites and revealing over $4.6 million in consumer losses in 2024.<\/p>\n

In a Monday statement, the California Department of Financial Protection and Innovation, or DFPI, said it identified seven new scam types with the help of its \u201cCrypto Scam Tracker.\u201d<\/p>\n

The tracker processed over 2,600 complaints, exposing fake Bitcoin mining, crypto job scams, and crypto gaming frauds, along with misleading AI investment schemes.<\/p>\n

\u201cAs crypto scams evolve, DFPI\u2019s Crypto Scam Tracker helps empower consumers to stay vigilant,\u201d DFPI Commissioner KC Mohseni said in a statement<\/a>.<\/p>\n

In a separate report<\/a>, the California Department of Justice, or DOJ, said it took down 42 scam websites operated by international fraudsters, uncovering $6.5 million in losses from promises of high returns.<\/p>\n

The rise of \u201cpig-butchering<\/a>\u201d scams has fueled the surge in fraud, with the DOJ\u2019s report pointing to a troubling increase in these schemes.<\/p>\n

In a pig-butchering scheme, fraudsters build false relationships with victims via social media or dating apps, only to later manipulate them into investing in non-existent cryptocurrency projects.<\/p>\n

When the victims try to withdraw their funds, they\u2019re left empty-handed.<\/p>\n

\u201cScammers can use deception and emotional manipulation to take advantage of people looking for connection,\u201d said California Attorney General Rob Bonta.<\/p>\n

Blockchain analysis firm Chainalysis reported<\/a> last month that there\u2019s been a nearly 40% increase in pig butchering scam revenue compared to 2023, with a nearly 210% increase in victim deposits.<\/p>\n

This form of fraud alone accounts for a large portion of the $9.9 billion in total scam-related crypto losses tracked by Chainalysis in 2024.<\/p>\n

In the report, Elad Fouks, head of fraud products at Chainalysis, said generative AI could be used to amplify and scale up crypto fraud and crimes.<\/p>\n

Fouks said GenAI generates realistic fake content, including \u201cwebsites and listings\u201d used to power investment scams and purchase scams, making these attacks \u201cmore convincing and harder to detect.\u201d<\/p>\n

Edited by Stacy Elliott<\/a>.<\/i><\/p>\n

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California authorities ramped up their fight against crypto fraud, taking down 26 fraudulent crypto websites and revealing over $4.6 million in consumer losses in 2024. In a Monday statement, the California Department of Financial Protection and Innovation, or DFPI, said it identified seven new scam types with the help of its \u201cCrypto Scam Tracker.\u201d The […]<\/p>\n","protected":false},"author":2,"featured_media":381499,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[230,225,221,227,226,228,229,60,223,224,222],"class_list":["post-381494","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrency","tag-brave","tag-coinbase","tag-crypto","tag-decentralised","tag-decentralized","tag-decentralized-exchange","tag-erc-20","tag-featured","tag-meme-coin","tag-robinhood","tag-solana"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/381494","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=381494"}],"version-history":[{"count":1,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/381494\/revisions"}],"predecessor-version":[{"id":381500,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/381494\/revisions\/381500"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/381499"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=381494"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=381494"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=381494"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}