The Federal Bureau of Investigation’s San Diego office has seized websites linked to three fraudulent cryptocurrency recovery services. The scam preys on victims of crypto fraud by promising recovery of lost funds, often charging significant fees without delivering results. The FBI advises the public to be cautious, avoid upfront payments, and verify any claims of law enforcement affiliation.

FBI Seizes Websites Linked to Fraudulent Cryptocurrency Recovery Services

The Federal Bureau of Investigation (FBI) San Diego Field Office announced last week that its special agents had seized websites linked to three cryptocurrency recovery services. This operation targets a scam that further exploits victims of cryptocurrency fraud by offering false recovery services.

The websites taken down belonged to Mychargeback, Payback Ltd., and Claim Justice. These companies claim to be experts in tracing and recovering lost cryptocurrency funds but, according to the FBI, have no track record of success. “Representatives of these companies often advertise strong success in recovering victim funds but have no track record in doing so,” the announcement details, adding:

They often charge significant upfront fees and ask for a commission should funds be recovered. These companies use extensive social media advertising, including false reviews, to convince victims of the legitimacy of their services.

The FBI detailed that victims are lured in through false promises, paying large fees upfront for services that are not delivered.

The FBI explained how these fraudsters also claim affiliation with law enforcement or financial institutions to build credibility. The agency outlined tips to help the public avoid falling victim to such schemes, including researching advertised companies, avoiding contact with strangers offering recovery services, and never providing personal financial information.

If anyone claims to be affiliated with law enforcement, the FBI advises individuals to verify their identity before sharing any information. Potential victims are encouraged to report scams through the FBI’s Internet Crime Complaint Center.