Cryptocurrency investment “pig butchering” scams are just one of many financial romance scams that cost consumers more than $3.5 billion in 2023. To address ways credit unions can help combat these scams and reduce fraud, America’s Credit Unions met with the Commodities Futures Trading Commission (CFTC) Friday.  

“Criminals befriend people to entice them to make crypto investments through phony apps and websites,” the CFTC notes, adding that investments may start slowly with small sums of money, but the ultimate goal is “stealing tens of thousands to millions of dollars.”

There are resources available for credit unions to use. The CFTC has published a “digital assets fraud” resource to better inform consumers and financial institutions how to spot these scams. The Treasury’s Financial Crimes Enforcement Network also issued an alert last year on the scam, including how to file Suspicious Activity Reports.