California Regulators Shut Down Dozens of Crypto Scam Sites

California has enhanced its crackdown on crypto fraud by shutting down 26 counterfeit crypto websites tied to $4.6 million in consumer losses. The California Department of Financial Protection and Innovation (DFPI) utilized its Crypto Scam Tracker to detect seven new scam types from over 2,600 complaints. Additionally, the California Department of Justice (DOJ) dismantled 42 fraudulent websites, linked to $6.5 million in losses.
What’s the Scoop?
- Crypto Scam Tracker: The DFPI's Crypto Scam Tracker processed over 2,600 complaints, exposing crypto fraud including fake Bitcoin mining and job scams.
- DOJ Action: The California DOJ dismantled 42 fraud websites, revealing extensive financial losses and highlighting the increase of scam activity.
- Rise of Pig-butchering Scams: Scams involving emotional manipulation, like pig-butchering schemes, have surged, with significant financial implications for victims.