{"id":673896,"date":"2026-10-21T14:56:58","date_gmt":"2026-10-21T14:56:58","guid":{"rendered":"https:\/\/www.crypto-news-flash.com\/?p=1304113"},"modified":"2026-10-21T14:56:58","modified_gmt":"2026-10-21T14:56:58","slug":"trump-crypto-scam-crackdown-hits-telegram-markets-and-usdt-wallets","status":"publish","type":"post","link":"https:\/\/e-bitco.in\/index.php\/2026\/10\/21\/trump-crypto-scam-crackdown-hits-telegram-markets-and-usdt-wallets\/","title":{"rendered":"Trump Crypto Scam Crackdown Hits Telegram Markets and USDT Wallets"},"content":{"rendered":"<div class=\"eth-editorial-banner\"> <img decoding=\"async\" data-post-full-image=\"https:\/\/www.crypto-news-flash.com\/wp-content\/uploads\/2025\/11\/cnf2-scaled-1-1-1.png\" class=\"eth-editorial-logo\" src=\"https:\/\/www.crypto-news-flash.com\/wp-content\/uploads\/2025\/11\/cnf2-scaled-1-1-1.png\" alt=\"Crypto News Flash\"> <span class=\"eth-editorial-text\">All news is rigorously fact-checked and reviewed by leading blockchain experts and seasoned industry insiders.<\/span> <\/div>\n<ul>\n<li><strong>The Trump crypto scam crackdown takes center stage at a White House cybersecurity event, with the president expected to present his administration\u2019s campaign against overseas fraud networks.<\/strong><\/li>\n<li><strong>Americans reported $11.37 billion in crypto-related losses to the FBI in 2025.<\/strong><\/li>\n<li><strong>Federal prosecutors have restrained about $938 million in crypto tied to scam operations since late 2025.<\/strong><\/li>\n<li><strong>Restrained assets are frozen pending legal proceedings and have not yet been returned to victims.<\/strong><\/li>\n<\/ul>\n<p>The Trump crypto scam crackdown moves to the White House on Wednesday, October 21, where President Donald Trump is expected to showcase his administration\u2019s campaign against international cryptocurrency fraud networks, <a href=\"https:\/\/www.reuters.com\/legal\/government\/trump-tout-crackdown-overseas-crypto-scams-2026-10-21\/\" target=\"_blank\" rel=\"noopener\">according to Reuters<\/a>, which cited a White House official. The event comes as FBI figures show Americans reported $11.37 billion in crypto-related losses in 2025, more than half of all cyber-enabled crime losses, while the Justice Department says it has restrained roughly $938 million in digital assets linked to scam operations. The White House has framed the appearance around measures already in motion and has not said whether new seizures or funding will be announced.<\/p>\n<h2>Four cabinet officials, two existing directives and no confirmed new money<\/h2>\n<p>Homeland Security Secretary Markwayne Mullin, FBI Director Kash Patel, Defense Secretary Pete Hegseth and Attorney General Todd Blanche are expected to join Trump. A defense secretary at a fraud briefing is telling. Washington now treats industrial-scale scam operations as a security problem, not only a consumer protection one.<\/p>\n<p>Most of the substance is already on paper. In March Trump signed <a href=\"https:\/\/www.whitehouse.gov\/presidential-actions\/2026\/03\/combating-cybercrime-fraud-and-predatory-schemes-against-american-citizens\/\" target=\"_blank\" rel=\"noopener\">Executive Order 14390<\/a>, which directs prosecutors to prioritize scam center cases and lets the State Department pressure governments that tolerate them with sanctions and visa restrictions. An August memorandum added a framework for cyber operations against foreign criminal networks, with private security firms contributing tools under government direction.<\/p>\n<h2>Fewer than one in five complaints, more than half of all losses<\/h2>\n<p>The FBI\u2019s <a href=\"https:\/\/www.ic3.gov\/AnnualReport\/Reports\/2025_IC3Report.pdf\" target=\"_blank\" rel=\"noopener\">Internet Crime Complaint Center<\/a> logged 1,008,597 complaints in 2025, up 17%, with reported losses of $20.88 billion. Crypto cases made up 181,565 of them. They accounted for $11.37 billion, 22% more than in 2024.<\/p>\n<div>\n<div>\n<p>Crypto-related losses<\/p>\n<p>$11.37B<\/p>\n<p>Up 22% from 2024<\/p>\n<\/div>\n<div>\n<p>Crypto investment fraud<\/p>\n<p>$7.2B<\/p>\n<p>Costliest single fraud type<\/p>\n<\/div>\n<div>\n<p>Losses, victims over 60<\/p>\n<p>$4.43B<\/p>\n<p>Nearly 39% of crypto losses<\/p>\n<\/div>\n<\/div>\n<div>\n<p>Crypto\u2019s share of all reported US cybercrime in 2025<\/p>\n<p>Share of complaints: 18%<\/p>\n<p>Share of losses: 54.5%<\/p>\n<p>Source: FBI IC3 2025 Internet Crime Report<\/p>\n<\/div>\n<p>The gap between those two bars explains why crypto sits at the center of the White House pitch. <a href=\"https:\/\/www.crypto-news-flash.com\/biggest-crypto-hacks-scams\/\">Investment scams draw victims into repeated deposits<\/a> over weeks or months before they realize the platform is fake, so each case carries far larger losses than a typical internet crime. The figures cover only reported cases, which means the real total is higher.<\/p>\n<h2>Why $938 million frozen is not $938 million returned<\/h2>\n<p>The Justice Department\u2019s Scam Center Strike Force launched in November 2025. Its largest action came in April, when prosecutors <a href=\"https:\/\/www.justice.gov\/opa\/pr\/scam-center-strike-force-takes-major-actions-against-southeast-asian-scam-centers-targeting\" target=\"_blank\" rel=\"noopener\">seized 503 fake investment websites and restrained more than $700 million in crypto<\/a>, charged two Chinese nationals and shut a Telegram channel recruiting workers for compounds in Cambodia.<\/p>\n<div>\n<div>\n<p>APR 23, 2026<\/p>\n<p>503 fake crypto sites seized <span>~$700M<\/span><\/p>\n<\/div>\n<div>\n<p>JUN 3, 2026<\/p>\n<p>Disruption Week with tech firms <span>$3.8M+<\/span><\/p>\n<\/div>\n<div>\n<p>JUL 21, 2026<\/p>\n<p>Secret Service and DOJ seizures <span>$25M+<\/span><\/p>\n<\/div>\n<div>\n<p>SEP 9, 2026<\/p>\n<p>Xinbi Guarantee network targeted <span>~$52M<\/span><\/p>\n<\/div>\n<\/div>\n<div>\n<div>\n<div>\n<p>Restrained to date<\/p>\n<p>$938M<\/p>\n<\/div>\n<div>\n<p>2025 crypto losses<\/p>\n<p>$11.37B<\/p>\n<\/div>\n<\/div>\n<p>Frozen assets equal roughly 8% of one year\u2019s reported losses. The $938M is cumulative and already includes earlier operations.<\/p>\n<\/div>\n<p>\u201cRestrained\u201d is a legal term. A court has allowed the government to freeze the assets while it pursues forfeiture, the process that permanently transfers criminal property to the state. Only then can money reach victims, and investigators must first match specific frozen coins to specific people after the funds have passed through money mules and offshore exchanges. That tracing can take years. The March order asked the attorney general to recommend a Victims Restoration Program, but it created no automatic right to compensation.<\/p>\n<h2>Fake domains, Telegram escrow and USDT: where the pressure lands<\/h2>\n<p>Prosecuting compound operators in Cambodia, Myanmar or Laos rarely works, because extradition is limited and many of the workers are trafficking victims themselves. So the strategy targets what touches US systems: domains, stablecoin balances and the marketplaces that supply scam groups.<\/p>\n<p>In September the Strike Force went after <a href=\"https:\/\/thehackernews.com\/2026\/09\/us-disrupts-xinbi-guarantee-scam.html\" target=\"_blank\" rel=\"noopener\">Xinbi Guarantee<\/a>, a Telegram escrow market accused of selling fake investment sites and laundering services, freezing about $52.8 million across 52 wallets with help from Tether. A <a href=\"https:\/\/www.fincen.gov\/news\/news-releases\/fincen-identifies-nearly-13-billion-linked-suspected-digital-asset-scams\" target=\"_blank\" rel=\"noopener\">FinCEN analysis<\/a> of 33,904 suspicious activity reports explains the focus: it flagged about $12.7 billion in suspected scam-linked flows and found that launderers routinely move proceeds through stablecoin transfers to offshore exchanges.<\/p>\n<h2>Faster freezes for exchanges, an unfinished fund for victims<\/h2>\n<p>Exchanges, wallet providers and stablecoin issuers should expect more freeze requests and shorter deadlines. Disruption Week showed that Washington expects tech firms to act voluntarily against flagged accounts.<\/p>\n<p>For victims, the test on Wednesday is whether the Victims Restoration Program appears with funding and a claims process or remains a recommendation. Without it, the $938 million stays an enforcement statistic.<\/p>\n<p>The event also lands amid scrutiny of the president\u2019s own crypto business. Reuters found that Trump and his sons have added at least $2.3 billion to the family fortune from their main crypto ventures while investors lost a similar amount, and it noted his October 2025 pardon of Binance founder Changpeng Zhao. The first lady\u2019s MELANIA meme coin, launched just before the inauguration, faces its own scrutiny. A <a href=\"https:\/\/www.forbes.com.au\/?p=162288\" target=\"_blank\" rel=\"noopener\">federal class action<\/a> alleges the developers behind it, Meteora\u2019s Benjamin Chow and Kelsier Labs\u2019 Hayden Davis, used the token in a pump-and-dump scheme, though the suit does not accuse Melania Trump of wrongdoing. The White House says all its actions serve the American people. Speculative token losses are not fraud, but Democratic senators who questioned Blanche over his 2025 decision to disband the Justice Department\u2019s crypto enforcement team are likely to weigh Wednesday\u2019s claims against that record.<\/p>\n<p> <a href=\"https:\/\/www.crypto-news-flash.com\/\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>All news is rigorously fact-checked and reviewed by leading blockchain experts and seasoned industry insiders. The Trump crypto scam crackdown takes center stage at a White House cybersecurity event, with the president expected to present his administration\u2019s campaign against overseas fraud networks. Americans reported $11.37 billion in crypto-related losses to the FBI in 2025. Federal [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":673897,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[25],"class_list":{"0":"post-673896","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-other","8":"tag-news"},"_links":{"self":[{"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/posts\/673896","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/comments?post=673896"}],"version-history":[{"count":0,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/posts\/673896\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/media\/673897"}],"wp:attachment":[{"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/media?parent=673896"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/categories?post=673896"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/e-bitco.in\/index.php\/wp-json\/wp\/v2\/tags?post=673896"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}