U.S. authorities are seeking to recover cryptocurrencies linked to the popular pig-butchering crypto scam. “Law enforcement was able to trace cryptocurrency involved in the fraud and money laundering to two Binance accounts, where it was seized,” the United States Attorney’s Office for the District of Massachusetts has revealed.

US Continues to Crack Down on Pig-Butchering Crypto Scam

The United States Attorney’s Office for the District of Massachusetts announced Tuesday that it has filed “a civil forfeiture action to recover cryptocurrency alleged to be the proceeds of a ‘pig-butchering’ fraud scheme targeting a Massachusetts resident and involved in money laundering.” The announcement details:

Specifically, the government seeks to forfeit 412,543.555 tether (USDT) and 100.896 Binance coin (BNB) seized from two accounts located at Binance.com, a cryptocurrency exchange and custodian.

The U.S. Attorney’s Office added: “Collectively, this cryptocurrency has a current estimated value of around $434,000.”

The announcement explains that an investigation began into a pig-butchering scheme targeting a Massachusetts resident in early 2023. “In a pig-butchering scheme, scammers obtain funds from victims using manipulative tactics. The scammer establishes a level of trust with a victim in online communications and then entices the victim into investing in a fraudulent cryptocurrency scheme. Often the victim is enticed to make additional payments, before realizing they are a victim of fraud,” the U.S. Attorney’s Office described.

The announcement adds:

Law enforcement was able to trace cryptocurrency involved in the fraud and money laundering to two Binance accounts, where it was seized.

“The complaint alleges that the defendant’s cryptocurrency is traceable to proceeds of wire fraud and was involved in money laundering. A civil forfeiture action allows third parties to assert claims to property, which must be resolved before the property can be forfeited to the United States and returned to victims,” the Attorney’s Office noted.

Several U.S. authorities have warned about the pig-butchering crypto scam. The Federal Bureau of Investigation (FBI) has issued multiple alerts about the growing prevalence and popularity of this scam across the country.

In September last year, the Delaware Department of Justice’s Investor Protection Unit issued a cease and desist order against 23 entities and individuals involved in this type of scam. The order also froze the accounts allegedly holding cryptocurrencies belonging to the victims. In November last year, U.S. authorities seized seven domains used by a group of pig-butchering scammers. In April this year, the U.S. Department of Justice (DOJ) seized cryptocurrency worth $112 million linked to a pig-butchering crypto scheme.

Have you encountered the pig-butchering crypto scam? Let us know in the comments section below.