U.S. seeks forfeiture of $2.117 million USDT tied to pig-butchering scam

A separate civil forfeiture action seeks 47,461.73111 USDT after victims were allegedly directed to deposit cash into crypto ATMs and lawmakers weigh new anti-scam restrictions.

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Summary

U.S. authorities have filed a separate civil forfeiture action seeking to recover 47,461.73111 USDT, worth about $47,000, allegedly linked to an online fraud scheme in which victims were tricked into depositing money into crypto ATMs. The Department of Justice said a resident of Ware, Massachusetts, and four other victims were induced to withdraw bank funds and feed cash into the machines, and prosecutors linked the deposits to the same wallet. The case adds to a broader pattern of U.S. civil crypto forfeiture actions, including an earlier Washington action targeting about $2.117 million in USDT from an Ethereum wallet that authorities say is tied to a pig-butchering scam affecting at least 13 victims. The latest filing also lands as the House's Stop Crypto ATM Scams Act, introduced June 11, would impose new customer limits and operator obligations aimed at curbing losses tied to crypto ATM fraud.

Terms & Concepts
  • USDT: A dollar-pegged stablecoin issued by Tether.
  • Crypto ATM: A machine that lets users buy or send digital assets using cash or other payment methods.
  • In rem: A legal action directed at property rather than a person.