ALBANY, NEW YORK – A massive cryptocurrency investment fraud scheme has been uncovered by federal authorities, with over $12 million in Tether cryptocurrency being targeted for forfeiture. The U.S. Attorney’s Office and the FBI have joined forces to crack down on this sophisticated scam that defrauded numerous victims out of millions.
According to the complaint, 10 female Mandarin-speaking victims were conned into losing a total of more than $10.3 million. The perpetrators struck up unsolicited conversations via text message and convinced their victims to invest large sums through a fraudulent website called ShakepayEX. This site was designed to mimic a legitimate Canadian cryptocurrency exchange, luring unsuspecting investors.
When the victims attempted to withdraw their funds, they encountered a series of excuses and fraudulent demands. The FBI’s investigation utilized blockchain analysis and other advanced techniques to trace the cryptocurrency back to the scheme, leading to the forfeiture action.
Acting United States Attorney John A. Sarcone III emphasized the importance of using all available tools to combat such schemes: “Cryptocurrency investment scams are the latest vehicle for con artists from all over the world to victimize Americans right here in our backyards. This civil action is a testament to law enforcement’s commitment to ensuring that technology doesn’t provide a shield for those who seek to profit from their deviant conduct.”
FBI Special Agent in Charge Craig L. Tremaroli highlighted the impact of these scams: “Cryptocurrency scams have a devastating financial and emotional impact on victims. This filing is a reminder that the FBI will continue working with partners to identify, investigate, and seek justice for those affected by these fraudulent activities.”
The investigation into this case is ongoing, with Assistant U.S. Attorney Joshua R. Rosenthal representing the United States. Those who believe they have been victimized by cybercrime, including cryptocurrency scams, are urged to contact the FBI’s Internet Crime Complaint Center at https://www.ic3.gov for assistance.
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Key Facts
- State: New York
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes|Cybercrime|White Collar Crime
- Source: Official Source ↗
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