U.S. Treasury Reports Nearly $13 Billion Lost to Cyber Scams, Urges Banks to Enhance Reporting

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The U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN) has reported that nearly $13 billion was lost to cyber scams, particularly in cryptocurrency investment schemes, affecting victims across all 50 states and U.S. territories. The alarming figure was revealed in a comprehensive study of over 33,000 cyber fraud incident reports filed between September 2023 and December 2025, which highlights the growing threat posed by transnational criminal organizations exploiting emerging technologies and human vulnerabilities.

According to an alert issued by FinCEN, financial institutions are being urged to enhance their vigilance in identifying and reporting these scams, which have increasingly expanded beyond traditional centers in Myanmar, Cambodia, and Laos. The report indicates that the rate of suspected scam activity has risen by nearly 11% each month, with significant contributions from both cryptocurrency firms and traditional banks.

Impact on Victims and Financial Institutions

The report reveals that approximately $12.7 billion was stolen from American victims through various scams, with cryptocurrency firms identifying around $5.5 billion in suspected scam activity. Traditional banks reported about $6.4 billion in potential fraud, often detecting schemes when victims transferred funds to digital asset sectors or scam-affiliated beneficiaries.

Notably, the report indicates that adults over 60 were not disproportionately represented among victims, accounting for about 25% of all reports. Other age demographics were similarly affected, suggesting that the scams are widespread across various age groups. Many victims reported liquidating investment accounts or taking out loans to fund their participation in these scams, often under the influence of scammers posing as trusted advisors or romantic partners.

Recent Government Actions

In response to the growing threat, the U.S. government recently took action against Xinbi Guarantee, a Telegram-based illicit marketplace that facilitated the laundering of billions of dollars for scammers. This follows a previous takedown of the Chinese platform Huione, which had also been a significant player in the scam ecosystem. According to Ari Redbord, global head of policy at blockchain research firm TRM Labs, more than $36 billion was laundered through Xinbi, underscoring the scale of the issue.

As the landscape of cyber scams continues to evolve, the Treasury Department’s call for enhanced reporting and vigilance among financial institutions is a critical step in combating these sophisticated criminal operations.

Follow Cyber Warriors Middle East for further global cybersecurity developments.

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