Recovery and re-victimisation · Also called crypto recovery scam, blockchain tracing scam, fake crypto recovery company, ethical hacker recovery
Fake crypto tracing and recovery service
A fake crypto tracing scam is a company or so-called expert that promises to trace and recover cryptocurrency lost to a scam. They charge an upfront fee, then disappear or produce an incomplete or fake tracing report and demand more money to recover the funds, which never come back.
How it works
- The scammers advertise recovery or tracing services online, or contact victims who have posted about their losses.
- They claim special tools, hacking skills, or links to law enforcement or legal services that can trace and recover the crypto.
- They charge an upfront fee and ask for wallet details, personal information, or identity documents.
- They stop replying, or send a tracing report and ask for more fees to complete the recovery.
Red flags
- A service guarantees it can recover crypto lost to a scam.
- You must pay upfront, often in cryptocurrency, before any work starts.
- The company has a minimal online presence and uses vague language about how it works.
- They ask for your wallet's recovery phrase, private keys, or passwords.
If you are targeted
- Stop contact and do not send more money, crypto, or personal details.
- This is a recovery scam pattern: the FBI warns about companies falsely claiming they can recover crypto lost to scams.
- Never share a wallet recovery phrase; if you did, move any remaining funds to a new wallet you control.
- Report it. Our Report a scam page lists where to report in your country, such as ic3.gov and ReportFraud.ftc.gov in the US.
- When you report, include the transaction details and your contact with the recovery service.
Prevention
For individuals
- Be wary of adverts for crypto recovery services and research any company before you contact it.
- Never pay an upfront fee for recovery or share your recovery phrase with anyone.
- Report crypto theft to law enforcement, which does not charge victims to investigate.
For organisations
- Crypto exchanges can warn customers who report scam losses about fake recovery services.
- Search engines and social platforms can remove ads that promise guaranteed crypto recovery.
By the numbers
Figures are for the reporting category this scam falls under, not this scam alone.
| Recovery scam losses reported to the FBI IC3 in 2025, which may include losses from the earlier scam (part of Losses reported to the FBI IC3 in 2025) | $1.4B | US, 2025, FBI IC3 |
| Losses involving cryptocurrency reported to the FBI IC3 in 2025 (overlaps other categories, never summed) | $11.37B | US, 2025, FBI IC3 |
Real cases
No documented case in the atlas yet. New cases are added as they are sourced.
Delivered through: Social media ads and posts, Malvertising and SEO poisoning
How official datasets classify it
- Scamwatch
- Money recovery scams
Questions
- Can stolen crypto be traced and recovered?
- Be very cautious of anyone who promises it. The FBI warns of companies that charge upfront fees for tracing and then produce incomplete reports or disappear. Report the theft to law enforcement instead.
- How do I spot a fake crypto recovery company?
- The FBI says to beware of companies that use vague language, have a minimal online presence, and promise to recover funds, especially if they want payment up front.