FinCEN identified $12.7 billion in questionable crypto-related transfers linked to suspected investment fraud operations, based on 33,904 Bank Secrecy Act filings from about 1,300 financial institutions between September 2023 and December 2025. Cryptocurrency service providers submitted 55% of the reports and flagged $5.5 billion, while traditional banks reported $6.4 billion. The agency said the total reflects reported activity rather than proven victim losses and may include blocked transactions, duplicate filings and reporting errors. The schemes, including pig-butchering, romance-fraud and crypto-confidence scams, affected victims in every U.S. state and multiple territories, with about 25% of victim reports involving elderly Americans. Criminal networks operating from forced-labor compounds in Cambodia, Laos and Burma often converted victims' funds to USDT before routing them through decentralized finance applications or foreign exchanges. The report documented losses involving retirement accounts, home-equity credit lines and borrowed money, including one transfer of about $640,000 and another loss exceeding $1 million. FinCEN said its Rapid Response Program has blocked $1.8 billion since 2015 and recovered slightly more than $1 billion for 5,790 American victims. As of September 5, 2026, Bitcoin was near $79,590 and the Fear and Greed reading was 75, framing the development as a compliance and safety issue rather than a price catalyst.