By now, everyone is familiar with cryptocurrency whether you have used or just heard about it. Crypto is simply a type of digital currency that allows people to make payments directly to each other through an online system. Some people believe in crypto wholeheartedly and invest in it while others are more skeptical and would rather stick to traditional forms of payment. Whatever your stance, crypto is here to stay. As with anything, the more popular crypto gets the more scammers find a way to exploit it. We have covered crypto scams in the past, but recently it seems to be on the rise. In 2025 U.S. authorities have significantly ramped up efforts to combat these scams. However, despite all the work being done to prevent crypto scams unfortunately people still become victims every single day. The gruesome term used for crypto scams is “Pig Butchering”, and they are responsible for billions of losses each year. Let’s explore what pig butchering is and how it works. Knowing what to look for and be wary of is the first step in preventing yourself and your loved ones from becoming victims.
Pig Butchering comes from the Chinese sha zhu pan or killing pig plate. It gets the name because the scammer basically “fattens up” a victim with fake trust before “slaughtering” them and stealing all their money. These scams combine social engineering, romance scams, and fraudulent cryptocurrency investments and often utilizes victims of human trafficking as perpetrators. It is a confidence-based scam—building up its victims slowly gaining trust and then quickly pulling the rug out from under them.
The process:
- Initial contact: Scammers initiate contact with a potential victim randomly using several different methods such as text messages, social media, dating apps, emails, or wrong number calls. Sometimes they use the number neighbor text message fad to get people talking. These messages are done to start a casual conversation in order to make the scammer seem harmless.
- Relationship building: Once that initial contact has been made, the scammer takes the next few weeks and/or months to build a strong relationship with the victim. A lot of times these relationships are romantic in nature. They gain their victims trust and confidence in them in order to “fatten them up” in a sense.
- Introducing the “Investment”: As trust is established and the victim feels comfortable in this new relationship, the scammer then introduces a fake crypto investment platform to the victim. This will seem like a dream investment promising huge fast returns and sometimes showing fabricated profits or even allowing small withdrawals in order to build creditability. This also establishes more trust between victim and criminal and makes it easier to convince the victim to invest larger amounts.
- The Butchering: Once the victim has invested enough money (usually a substantial amount) the scammer suddenly disappears, the fake platform is taken offline, and there is no money to withdraw. The victim is left with nothing.
How to protect yourself from a pig butchering scam:
- Be Skeptical of Unsolicited Messages: Do not respond to random texts or answer calls from unknown numbers. Be very careful with social media, don’t just friend or follow everyone blindly. If you are using a dating app, be cautious and look for the red flags.
- Never Send Money to Strangers: I CANNOT stress this enough! Never send money, especially cryptocurrency, to someone you have only met online regardless of how long you’ve communicated. Be leery of requests for money or talk of investments.
- Verify Investment Opportunities: Legit platforms don’t usually guarantee huge quick returns. You should always use a regulated and known exchange or platform to invest. A true investment opportunity will not require the use of an obscure, unlisted app or a website that is provided solely by an online contact.
- Seek Trusted Advice: Always talk to a trusted family member, friend, or financial advisor before making ANY investment, especially where cryptocurrency is involved.
Last year, the FBI and Secret Service joined forces to create Operation Level Up. As of July 2025, The FBI had notified 6,475 victims of crypto fraud. Of those victims, 77% were unaware they were being scammed. Estimated savings to victims is $400,906,991! You can learn more about Operation Level Up, as well as information on other types of scams and fraud at https://www.fbi.gov. On November 12, 2025 U.S. Attorney Jeanine Ferris Pirro announced the creation of the first District of Columbia Scam Center Strike Force. The Strike Force was created to secure America against Southeast Asian crypto related fraud and scams. The new Scam Center combines the power, reach, and resources of the U.S. Attorney’s Office, DOJ, FBI, and Secret Service to investigate scam compounds overseas and help keep Americans safe from pig butchering scams. Find out more about this Scam Center here District of Columbia | New Scam Center Strike Force Battles Southeast Asian Crypto Investment Fraud Targeting Americans | United States Department of Justice.
Bottom line, as crypto gains popularity fraudsters will find more ways to exploit it. Don’t let yourself be led to the slaughter by a criminal and a pig butchering scheme. By learning the warning signs and being careful with your information and investments you can prevent being a victim of this heinous scam. Always remember, if you can spot a scam you can stop a scam.
Thanks and have a great weekend!
Tara Montgomery
Exchange Bank of Alabama
Fraud Specialist
(256) 691-0328
