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DOJ filed five civil‑forfeiture complaints on July 21 targeting about $26.4 million in crypto tied to international scams, highlighting how authorities can
LEDE
U.S. prosecutors filed five civil‑forfeiture complaints on July 21 seeking roughly $26.4 million in cryptocurrency linked to separate international fraud schemes, underscoring a new tool that lets authorities restrain digital assets even before pinpointing the perpetrators.
At a glance
| At a glance | |
|---|---|
| Amount targeted | $26.4 million |
| Number of complaints | 5 |
| Primary regions of launderers | Southeast Asia (IP links to China, Malaysia, Cambodia) |
| Catalyst | DOJ civil‑forfeiture filings to freeze suspected proceeds |
Civil‑forfeiture complaints allow the government to ask a court to transfer ownership of property—here, crypto tokens—without a criminal conviction, provided prosecutors show a preponderance of evidence that the assets are tied to illegal activity【1】. The five filings span distinct scams: one involved more than 270 victim transactions tied to fraudulent investment platforms, another encompassed over 200 romance‑scam victims and a network of intermediary addresses used to commingle funds【1】. A fifth, the smallest case, concerns a repeat victim who was duped into paying a fee to “recover” previously stolen funds; the complaint seeks about $285,000 from that transaction【1】.
The DOJ frames these seizures as part of a broader effort that has recovered over $800 million in crypto through its Scam Center Strike Force, though a separate page notes $832.8 million in assets restrained as of June 18【1】. The figures use different terminology and dates, so they cannot be directly compared, but they illustrate that the government is handling assets in the hundreds of millions while victim restitution remains pending. No timetable or eligible claimant list was disclosed for the five new cases, and courts must still decide whether to grant forfeiture and how much, if any, will ultimately reach victims【1】.
Freezing the identified wallets prevents further movement of the traced tokens, preserving them for potential restitution. Because the assets are held in cryptocurrency, the freeze can be enacted quickly across borders, a notable advantage over traditional fiat seizures. However, the ultimate disposition depends on court rulings and the DOJ’s remission or restoration process, which may route funds to restitution courts or directly to victims after legal review【1】.
These filings demonstrate a growing willingness by U.S. authorities to intervene early in crypto fraud, using civil forfeiture to lock down proceeds while investigations continue. The approach raises questions about due process and the speed at which victims might see recovered assets, making future court outcomes and DOJ policy updates critical to watch.
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AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 3 outlets · Jul 22, 2026 · How we report
Crypto kiosks are ATM‑like machines that allow users to deposit cash and receive cryptocurrency, but scammers exploit them to move cash into untraceable digital assets, often leaving victims without the cash they deposited.
Police in Haverhill traced around $500,000 in losses to seven kiosks, and the FBI reported nearly $7 million in kiosk‑related fraud statewide for 2022.
U.S. prosecutors have filed five civil‑forfeiture complaints seeking about $26.4 million in cryptocurrency tied to international scams, aiming to freeze assets before suspect identification.
While four states have banned crypto kiosks and over 30 have imposed restrictions, Massachusetts currently has no specific laws regulating them, leaving the industry largely unregulated.
Law enforcement reports indicate that many large‑deposit victims are older adults, with an estimate that 80% of the biggest depositors at kiosks are scam victims, often over age 67.