A legal commentary by a crypto lawyer on the Brooklyn indictment in a $16 million Coinbase phishing scam, highlighting successful law-enforcement action, partial asset recovery, and why early legal intervention is critical for cryptocurrency fraud victims.
Pig-butchering scams represent one of the most sophisticated forms of financial fraud in the digital-asset ecosystem. These schemes combine social engineering, fake crypto exchanges, and staged trading dashboards to create the illusion of legitimate investment activity. Victims are gradually “fattened” with apparent profits before being “slaughtered” at the withdrawal stage.
