Online fraud brought in $16.6 billion last year, according to the FBI. A recent survey demonstrates how cybercrime is becoming a more significant issue, with older Americans being disproportionately affected. Compared to the $12.5 billion reported in 2023, the statistic from the FBI’s annual Internet Crime Complaint Center (IC3) report represents a significant increase in the frequency of online scams, especially those that target older Americans and include cryptocurrencies.
Since the study only includes those who take the time to report to the agency, its statistics are an undercount, even though it is a leading look at how cybercrime is ravaging the United States. Last year, the bureau received 859,532 reports about cybercrime and scams.
FBI reports 33% increase in cyber fraud losses, particularly affecting seniors
Deputy Assistant Director Cynthia Kaiser stated during a news conference introducing the report that it is challenging to have statistics fully depict what may be happening within the cybercriminal ecosystem. The virtualization of our lives since 2020 has expanded the attack surface, and we have witnessed criminals transition from the real world to the virtual one, she said. According to the survey, over a quarter of a million individuals reported significant financial losses as a result of scams and cybercrime.
There were 58,271 complaints and $129,624 in reported losses as a result of fake toll frauds, in which victims regularly get text messages requesting payment of a nominal cost. At least some of those scams are connected to a Chinese-speaking cybercriminal syndicate that has placed ads on Telegram, according to an NBC News story from March. With almost $4.8 billion reported lost, those 60 and over were by far the largest fraud victims. Additionally, complaints mentioning cryptocurrencies accounted for $2.8 billion among older victims, making them the most likely to claim that bitcoin was a part of a fraud that targeted them. The largest loss, $1.8 billion, was suffered by those over 60 in investment frauds, which the FBI classifies as “pig butchering” scams.
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Scams involving pig slaughtering frequently begin with a harmless or perplexing text message from a stranger, which hackers then utilize as a pretext to establish a rapport with the victim by posing as a friend or romantic partner. They gradually persuade people to put more and more money into a fraudulent cryptocurrency operation, which has resulted in heartbreaking tales of pensioners losing all of their savings. From $3.3 billion in 2022 to $4.6 billion in 2023 and $6.6 billion last year, the amount of money allegedly lost to investment scams has risen sharply in recent years, according to the research.
The FBI has announced it needs more funding from the Trump Administration
FBI Director Kash Patel is opposed to the Trump administration’s proposed budget, which would dramatically slash the bureau’s funding. We need more than what has been suggested, FBI Director Kash Patel told lawmakers Wednesday, breaking with the Trump administration on a budget proposal that would drastically cut funding for the bureau. According to the White House, the budget proposal for 2026, which was unveiled on Friday, calls for cutting more than $500 million in funding for the FBI to streamline and reorganize the agency and cut back on non-law enforcement operations that don’t fit with President Donald Trump’s priorities. Patel cautioned that the FBI will suffer from such a drop if it shifts its emphasis to concentrate on violent crime.
Patel was requested by a House Appropriations panel to identify which employment would have to be reduced if sequestration were implemented. He responded, “At this point, we have not looked at who we need to cut.”
By coming here and notifying you that we are unable to complete the work at the 2011 budget levels, we are focusing our efforts on preventing them from being reduced.
Connecticut Democrat Rep. Rosa DeLauro prodded Patel for answers, stating, “This is your budget.” To send information to the Office of Management and Budget, you must have a general understanding of what you want to fund, what you do not want to fund, and where you can and cannot make savings.
