Key Takeaways:
- Coinbase aided the U.S. Secret Service in seizing $225 million in crypto linked to pig butchering scams, marking the agency’s largest crypto seizure.
- The operation involved tracing blockchain transactions and identifying over 130 scam victims who lost a total of $2.3 million.
- Tether froze and burned 39 USDT wallet addresses, then reissued the funds to a Secret Service-controlled wallet, showcasing blockchain transparency.
Coinbase announced it played a key role in a major U.S. Secret Service operation that led to the seizure of $225 million in cryptocurrency tied to pig butchering scams – fraud schemes where victims are tricked into fake crypto investments.
The Department of Justice moved to seize the funds on June 18, marking the largest crypto seizure in the agency’s history.
Coinbase helped drive a major law enforcement win: the U.S. Secret Service has seized $225M in stolen crypto tied to pig butchering scams—and is returning funds to victims. If you think you were affected, you may be eligible for restitution. Learn more: https://t.co/0VirllyzM7
— Coinbase Support (@CoinbaseSupport) June 24, 2025
Coinbase supported the 2024 investigation by tracing illicit blockchain transactions, identifying scam victims, and sharing data with law enforcement.
Between February 26 and 29, Coinbase tracked millions in fraudulent activity, revealing that over 130 of its users had unknowingly lost $2.3 million.
The Secret Service also traced parts of the seized assets to 140 OKX exchange accounts allegedly tied to scam operations in Southeast Asia.
Stablecoin issuer Tether participated by freezing 39 wallets containing USDT, later burning the tokens and reissuing them to a U.S. government-controlled wallet.
Coinbase highlighted that the process was fully visible onchain, showing how blockchain transparency can aid law enforcement.
The operation involved cooperation among multiple crypto platforms and showcased effective industry-government collaboration.
About The Author
Adam Morris, the co-founder of Crypto Head and a respected crypto expert, offers insightful commentary and analysis on cryptocurrency, NFTs, and the evolving digital landscape.
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