In 2024, crypto fraud losses in the US reached $9.3 billion, a 66% rise compared to 2023. Seniors, aged 60 and above, lost $2.8 billion, accounting for a large proportion of total losses despite their smaller population size. The average loss for victims over 60 was $83,000, significantly higher than younger victims. Operation Level Up has saved around $285 million since its launch. Crypto ATM fraud complaints surged 99%, with this demographic particularly affected.
In a striking revelation, the FBI’s Internet Crime Complaint Center (IC3) has released its 2024 annual report, underscoring a distressing trend wherein elderly Americans are being disproportionately victimised by cryptocurrency fraud. The data shows monumental losses, with Americans losing a staggering $9.3 billion this year alone—an alarming 66% surge from 2023’s losses of $5.6 billion. Among these figures, older citizens, specifically those aged 60 and above, suffered substantially more.
The over-60 demographic reported losses nearing $2.8 billion, representing about 30% of the total losses, despite this age group constituting just 17% of the U.S. population. This figure comes from a jaw-dropping number of complaints—33,369 filed to the FBI, showcasing that seniors are a primary target for such scams. The data underscores significant concerns about the vulnerability of older Americans, who might have substantial savings yet lack familiarity with cryptocurrency technology.
Interestingly, the average loss for those over 60 is reported at around $83,000, which is more than four times the average loss of $19,372 for other online fraud, a stark disparity that highlights how scams are increasingly aimed at older individuals. B. Chad Yarbrough, the FBI’s director of operations in the criminal and cyber division, reflected on this troubling reality, noting that while the nature of crime may evolve, the intent to exploit remains consistent.
Moreover, the FBI suggests that these figures might not even capture the complete picture of crypto fraud. A significant number of victims are likely to remain silent, which would leave a vast gap in understanding the true extent of the crisis. One alarming trend highlighted is the almost doubling of crypto ATM fraud from 2023 to 2024, indicating that these often poorly understood machines have become prime targets.
Specifically, the FBI noted that 2,674 individuals aged over 60 reported losses of about $107 million through crypto ATM schemes. Scammers typically lead victims to withdraw cash from their accounts, including retirement funds. As the FBI points out, in these situations, victims are often instructed to exit savings or investment accounts to cover fraudulent payments.
Within the broader landscape of crypto fraud, investment scams continue to dominate, amassing a considerable $1.6 billion in losses for older Americans. These scams prey on individuals’ aspirations for security, lulled by promises of high returns with minimal risk. In response to this growing menace, the FBI has initiated programs like Operation Level Up, which aims to alert and potentially prevent victims from falling prey to fraud. Since its inception in January 2024, the program has reportedly saved approximately $285 million.
The IC3 received more than a staggering 140,000 complaints mentioning cryptocurrency in 2024, with the total losses referenced in its report hitting a terrifying $16.6 billion. Fraud constituted the bulk of these losses while ransomware also loomed as a persistent danger to critical infrastructure. Notably, complaints from the over-60 demographic accounted for the most significant losses, highlighting their need for extra vigilance.
In other scam categories, “sextortion” schemes have also been prevalent, where fraudsters manipulate explicit media to extort cryptocurrency as a means to avoid exposure. Looking ahead, experts from blockchain analytics firm Chainalysis have cautioned that 2025 might witness an even more significant rise in scams, as generative AI technologies could make fraudulent schemes more efficient and wide-reaching. They estimated an illicit crypto volume of approximately $41 billion globally in 2024.
Additionally, some notable crimes in 2024 include the $1.4 billion theft from the Bybit exchange in March and various cyber thefts by North Korean hackers totaling over $1.3 billion within the same span. These incidences firmly establish the urgent need for increased education and protective measures, especially among vulnerable populations such as seniors, to combat this growing epidemic of crypto fraud.
