The Federal Bureau of Investigation (FBI) has released the “2023 Internet Crime Report,” which reveals that investment fraud has grown by 38%, increasing from $3.31 billion to $4.57 billion, with cryptocurrency being the largest type of fraud.
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Investment fraud dominates, mostly related to cryptocurrency
FBI Enforcement Achievements
The Internet Crime Complaint Center (IC3) received a record number of complaints from the American public in 2023: a total of 880,418 complaints were filed, with potential losses exceeding $12.5 billion. Compared to 2022, the number of complaints increased by 10%, with losses increasing by 22%.
In 2023, investment fraud once again became the highest-amount crime type tracked by IC3. The losses from investment fraud increased from $3.31 billion in 2022 to $4.57 billion in 2023, a 38% increase. Among them, investment fraud involving cryptocurrency increased from $2.57 billion in 2022 to $3.94 billion in 2023, a growth of 53%.
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In terms of age, although the number of complaints seems relatively similar for those above 30 years old, the losses were most severe for those above 60 years old, reaching a staggering $3.4 billion, which is twice the $1.7 billion loss for those aged 50-59.
In terms of crime types, besides investment fraud ranking first in terms of losses, Business Email Compromise (BEC) ranked second with losses amounting to $29.5 billion. The impact of ransomware also increased once again, bringing significant costs.
Note: BEC is a scam targeting businesses or individuals who collaborate with suppliers and regularly make wire transfers. These sophisticated scams are carried out by fraudsters through compromising email accounts and other forms of communication (such as phone numbers and virtual meeting applications) using social engineering or computer intrusion techniques.
The FBI also highlighted its enforcement achievements in the report. The FBI is committed to assisting internet crime victims and cultivating partnerships. Its Recovery Asset Team (RAT), established in 2018, streamlines communication with financial institutions and FBI field offices to facilitate freezing funds for victims. According to the report, the success rate is as high as 71%, with a total of $530 million in illicit funds frozen.
FBI
IC3
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