- Romance scams are on the rise, with $1.3 billion lost to online dating fraud in 2022 as scammers seduce unsuspecting singles.
- Cryptocurrency now enables 34% of reported romance scam losses, with an average crypto loss of $14,000 per victim as scammers exploit trust.
- “Pig butchering” has emerged as one of the fastest growing online scams, starting with fake crypto apps and slowly building trust until the victim’s wallet is drained.
Romance scams are on the rise, with criminals exploiting people’s desire for love and connection. According to GeekWire, online dating fraud has skyrocketed in recent years as scammers seduce unsuspecting singles.
The Prevalence of Romance Scams
According to Norton’s 2022 Cyber Safety Insights report, 1 in 4 adults surveyed globally reported falling victim to online dating scams. The FTC received over 70,000 reports of romance scams in 2022, up from just over 11,000 in 2016. These scams accounted for $1.3 billion in losses last year.
Cryptocurrency Fuels the Fire
While cash still dominates money laundering, cryptocurrency now enables 34% of reported romance scam losses. Binance estimates that romance scams made up 2% of its total reported cases in 2022. The average crypto loss per victim is estimated to be around $14,000.
Exploiting Trust is the Name of the Game
Like financial fraudsters, romance scammers exploit trust and fabricate emotional connections for monetary gain. They slowly build relationships through messages, calls, and time before asking for money. Binance has helped recover funds, but losses remain high.
The Rise of “Pig Butchering”
Security firms have identified “pig butchering” as one of the fastest growing online scams. The scam starts with fake cryptocurrency apps and slowly builds trust until the victim connects a wallet and loses funds. DeFi platforms are the latest tools used by scammers after gaining trust.
