Summary:
Last year, crypto fraud exacted nearly $3 billion from individuals over age 60.
Crypto-related fraud climbed to a record peak of $9.3 billion, a 66% rise over 2023.
Older victims lost an average of $83,000, with losses four times greater than those seen among the general population.
Crypto ATM fraud surged 99% compared with the prior year, leading seniors to forfeit more than $107 million.
Investment schemes continue to pose the greatest danger, claim $1.6 billion in losses.
In 2024, the surge of cryptocurrency scams wreaked devastating havoc on older Americans. The latest report from the FBI’s Internet Crime Complaint Center (IC3) estimated that about $3 billion was stolen from seniors aged 60 and above through crypto-related fraud. Though they constitute only about 17% of the population, older adults incurred roughly 30% of all crypto-related losses. This worrisome figure highlights the tremendous susceptibility of this demographic to online financial scams.
A record high was reached in crypto-related fraud.
In 2024, the United States recorded an eyepopping $9.3 billion in crypto-related fraud—a 66% spike from the prior year’s $5.6 billion. The steep climb indicates an escalating concern, as a growing number of people—particularly seniors—are being taken in by digital-currency scams. Victims older than 60 lost a median $83,000, a sum 4.25 times greater than the overall average of $19,372 for other cyber-crimes. The data emphasizes that older adults are hit hardest by these fraudulent schemes.
In the report, B. Chad Yarbrough—operational chief of the FBI’s criminal and cyber division—explained that contemporary criminals may present in novel guises, yet they still seek the same end: to harm Americans for their own benefit. The remark underscores the dynamic nature of fraud, whereby perpetrators leverage recent technologies and tactics to take advantage of unwitting victims.
Crypto ATM Fraud continues to pose a rising threat.
Among the most troubling developments detailed in the FBI’s report is a steep surge in crypto ATM fraud that reached nearly 100% from 2023 to 2024. Scammers have zeroed in on these ATMs, which let individuals convert conventional currency into cryptocurrency, turning them into a primary point of attack. A large share of their victims—chiefly older adults—are still unfamiliar with how these machines operate, making them particularly vulnerable to exploitation.
In 2024, more than 2,600 adults age 60 and older reported losses in excess of $107 million to crypto ATM fraud. Frequently, these scammers encourage their victims to withdraw funds from their bank accounts—retirement or investment resources included—and convert them into cryptocurrency via the ATMs. The ready availability of these machines, coupled with minimal public understanding of their functioning, makes them an ideal instrument for scammers, whose expanding numbers have only worsened the problem.
Investment Scams Remain the Main Source of Losses
Seniors still experience the greatest financial losses from investment schemes, with an staggering $1.6 billion lost. Often, these schemes empha Regrettably, the seductive promise of instant gains can distract judgment, driving many individuals to forfeit significant sums of money.
To address the escalating problem, the FBI has launched Operation Level Up, an initiative aimed at pinpointing victims of crypto investment fraud and informing them of the deceitful activities. Ever since its introduction, the operation has aver prevented an estimated $285 million worth of losses, underscoring the necessity for proactive measures to shield consumers.
The report likewise urges heightened awareness.
The FBI’s report likewise observes that crypto fraud cases receive far less reporting than the reality, indicating that the actual scope of the issue is probably far greater than what is publicly documented. Numerous victims—especially older adults—might not realize that they have been duped and might feel too embarrassed to come forward about their losses. As a result, the underestimation of these losses paints a distorted picture of the scope of crypto fraud and complicates efforts to stem the problem even further.
Because scams are perpetually evolving and becoming increasingly sophisticated, seniors—and everyone else, for that matter—must stay up to date on the risks inherent in cryptocurrency investing. Gaining a clear grasp of how crypto transactions function, coupled with wariness over unsolicited investment offers, is vital for shielding oneself from these scams. Seniors, especially, ought to turn to reliable financial advisors and depend on reputable sources when making investment decisions.
The FBI urges anyone who thinks they may have been subjected to crypto fraud to submit a report to the Internet Crime Complaint Center (IC3). By reporting such scam details to law enforcement, victims can enable authorities to track down and disrupt ongoing fraudulent schemes, safeguarding themselves as well as others. The surge in crypto scams targeting seniors stands as a sobering reminder of the importance of vigilance in today’s digital economy.