Feds Seek Forfeiture of $200K in USDT Tied to Tinder ‘Pig Butchering’ Scam

The United States Department of Justice (DOJ) has filed a civil forfeiture complaint seeking the recovery of approximately $200,000 in Tether (USDT), alleging the funds are traceable proceeds of a sophisticated international “pig butchering” fraud scheme. The scheme primarily targeted victims through popular dating applications, including Tinder.

Pig Butchering (Sha Zhu Pan) scams involve organized criminal syndicates that establish long-term, intimate relationships with victims—often posing as potential romantic partners encountered on social media or dating platforms. After months of grooming and building trust, the scammers convince the victim to invest money into fraudulent cryptocurrency trading or investment platforms, promising incredibly high returns.

The forfeiture complaint details how victims, believing they were engaging in a legitimate crypto investment recommended by their trusted online ‘partner,’ transferred substantial amounts of fiat currency, which was then quickly converted into USDT stablecoin and routed through complex blockchain transfers. Law enforcement, utilizing advanced tracing techniques, was able to track a specific tranche of $200,000 in USDT to a controllable digital wallet.

Federal prosecutors are seeking the civil seizure of the assets under statutes that permit the forfeiture of property derived from wire fraud and money laundering. This legal action underscores the U.S. government’s continued commitment to disrupting transnational criminal organizations that leverage cryptocurrency and romance fraud to exploit vulnerable individuals. The DOJ estimates that pig butchering scams have cost Americans billions of dollars annually, marking them as one of the fastest-growing financial threats in the country.

Source: Feds Seek Forfeiture of $200K in USDT Tied to Tinder ‘Pig Butchering’ Scam