Trump Announces Nearly $1 Billion in Crypto Frozen by DOJ Linked to Scams

On October 21, 2026, President Donald Trump announced that federal authorities have frozen nearly $1 billion in cryptocurrency linked to foreign scam operations. This figure, reported by the Department of Justice’s Scam Center Strike Force, indicates that as of October 15, 2026, a total of $938,460,156.82 in crypto has been restrained.

During a White House roundtable focused on cybercrime, Trump emphasized that this action is part of a larger campaign against online fraud. He noted that, in addition to the frozen funds, federal authorities have successfully prevented at least $1.6 billion in potential losses this year and have dismantled over 500 fraudulent websites.

The Strike Force, which was established in November 2025, has reported seizing or disrupting 503 fraudulent crypto investment sites. FBI Director Kash Patel stated that 20 scam compounds have been dismantled, and more than 10,000 Americans have received warnings to prevent them from becoming victims of scams.

The restrained total has been on the rise throughout the year, surpassing $700 million by April and exceeding $800 million by July. The crackdown primarily targets scam networks operating in Southeast Asia, particularly in countries like Myanmar, Cambodia, Laos, and the Philippines. These scams often involve a method known as “pig-butchering,” where scammers build trust with victims before leading them into fake investment schemes.

While the freeze prevents the movement of these funds, it does not guarantee that victims will receive their money back, as the process of returning funds is complex and slow. Officials have expressed intentions to return the restrained funds to victims, but confirming repayments remains challenging.

New Developments on Government Bitcoin Transfers

• A wallet linked to the US government moved 12,267.02 BTC, valued at approximately $1.01 billion, on October 8, 2023.
• The transferred coins eventually reached Coinbase deposit addresses after passing through a series of unlabeled addresses.
• Between October 6 and 8, government-linked wallets moved between 17,795 and 21,500 BTC, worth approximately $1.5 to $1.78 billion.
• Galaxy Research tracked 9,261 BTC, roughly $770 million, flowing to Coinbase Prime between October 6 and 7.
• Estimates suggest the US government's seized Bitcoin holdings range from 307,000 to 325,000 BTC, valued at around $25 billion.
• The government has a prohibition on sales from its Strategic Bitcoin Reserve, influencing market interpretations of wallet movements.
• The recent transfers coincided with a drop in Bitcoin prices of approximately $4,000, highlighting market sensitivity to government wallet activity.

New Developments on Crypto Scams

• President Trump will highlight his administration's crackdown on overseas crypto scams during a White House event.
• In 2025, Americans filed over one million complaints about internet scams, a 17% increase from 2024, with crypto fraud accounting for more than half of the losses.
• The FBI reported 181,565 crypto-related complaints in 2025, totaling $11.366 billion in losses, making it the most loss-heavy category.
• Crypto investment scams alone drained $7.2 billion from victims in 2025.
• Americans aged 60 and older suffered the most, with $4.43 billion in crypto-related losses.
• Crypto ATM scams resulted in $389 million in losses, a 58% increase from 2024.
• Global illicit crypto addresses received at least $154 billion in 2025, a 162% increase from the previous year.
• North Korea-linked hackers stole $2 billion in 2025, including the record $1.5 billion Bybit exploit.
• The FBI's Operation Level Up saved an estimated $225.8 million by notifying 3,780 victims of active crypto investment fraud in 2025.
• Trump pardoned Changpeng Zhao, the Binance founder, in October 2025 after the exchange's guilty plea regarding anti-money laundering failures.