US Secret Service Seizes $400M in Crypto, Builds Huge Cold Wallet

The US Secret Service has quietly seized nearly $400 million in digital assets over the past decade, building one of the world’s largest crypto cold wallets, Bloomberg reported.

Blockchain mistakes expose crypto scams

The agency’s Global Investigative Operations Center uses blockchain tracing, domain data, and VPN slip-ups to track scammers. Analyst Jamie Lam described schemes where victims believe they are investing in legitimate crypto projects only to see sites disappear with their funds. “They’ll send you photos of attractive people, but behind it could be anyone,” Lam said.

Crypto scams dominate US internet crime losses

According to the FBI, Americans reported $9.3 billion in crypto scam losses in 2024 — more than half of the $16.6 billion in total internet crime losses that year. In the first half of 2025 alone, over $2.47 billion has been lost to hacks, scams, and exploits, a 3% increase from 2024.

Recovery often depends on industry cooperation. Coinbase and Tether have helped in major cases by tracing transactions and freezing funds. One of the largest recoveries was $225 million in USDt linked to romance scams.