Pause Before Sendwallet safety · scam watch

What is a pig-butchering scam, and how do I spot one before I send money?

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By J · Last updated:

Short answer: Pig-butchering is a long-con investment scam. A stranger builds trust over weeks by text, social media or a dating app, then steers you to a crypto "platform" that shows fake profits. When you try to withdraw, they demand taxes or fees. Anyone you met online who offers crypto investing help is a red flag. (FinCEN; FTC)

Key facts

  • Crypto investment fraud was the biggest source of reported losses to Americans in 2025: 61,559 complaints and $7.228 billion, per the FBI's IC3. Complaints rose 48% from 2024. (FBI IC3 2025 report)
  • People 60 and over filed 13,685 of those complaints and reported $2.76 billion of the losses. (FBI IC3 2025 report)
  • The FBI and FinCEN say these scams are largely run by criminal groups in Southeast Asia that use trafficked workers. (FBI IC3; FinCEN)
  • The name comes from "fattening a hog before slaughter." (FinCEN, Sep 8, 2023)

How does a pig-butchering scam work, step by step?

  1. First contact. Often a "wrong number" text, a social media message or a dating-app match. The scammer may pose as an investor or money manager with a wealthy-looking profile. (FinCEN)
  2. Trust building. They chat with you for days or weeks and move the conversation to a messaging app. (FinCEN; FBI IC3)
  3. The pitch. They introduce a crypto (or gold) "opportunity" and walk you through buying crypto and sending it to a website or app that looks real but is controlled by the scammers. (FinCEN; FBI IC3)
  4. Fake gains. The app shows big returns. FinCEN says scammers may let you withdraw a small amount to build confidence, then push you to invest more. Some victims take out home-equity loans. (FinCEN)
  5. The exit. When you try to withdraw, you're told to pay "taxes and fees" first. Then the scammers disappear with the money. (FBI IC3)
  6. The second hit. The FBI says victims are then targeted by recovery scams. See how recovery scams work. (FBI IC3)

What are the warning signs before I send money?

"If you meet someone on a dating site or app, and they want to show you how to invest in crypto, or asks you to send them crypto, that's a scam."

How big is the problem?

Different sources measure different things, so the numbers don't match exactly:

[Both are lower bounds. IC3 counts only people who file a report, and Chainalysis counts only wallets it has identified.]

What should I do if I think I'm already in one?

Frequently asked questions

Why is it called pig-butchering?

FinCEN says the name comes from fattening a hog before slaughter: scammers build a relationship to "fatten up" the victim, then take the money. It is also called "sha zhu pan."

Can I withdraw money from the platform if I pay the fee?

No. The FBI says withdrawal "taxes and fees" are a final attempt to take more money before the scammers disappear. Paying only increases the loss.

Is it a scam if the app let me withdraw a small amount?

It can still be a scam. FinCEN says scammers may allow a small withdrawal to build confidence before urging you to invest more.

Where do I report a pig-butchering scam in the U.S.?

File with the FBI at ic3.gov and include every transaction detail you have. The FTC also takes reports at ReportFraud.ftc.gov.

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Sources

  1. FBI Internet Crime Complaint Center, "2025 IC3 Annual Report," April 2026 (pp. 11–12 and 52–54). ic3.gov (accessed 2026-10-24)
  2. FinCEN, "FinCEN Alert on Prevalent Virtual Currency Investment Scam Commonly Known as 'Pig Butchering'" (FIN-2023-Alert005), 2023-09-08. fincen.gov (accessed 2026-10-24)
  3. Federal Trade Commission, "What To Know About Cryptocurrency and Scams," May 2022. consumer.ftc.gov (accessed 2026-10-24)
  4. Chainalysis, "2026 Crypto Crime Report: Scams," 2026-01-13. chainalysis.com (accessed 2026-10-24)
  5. FBI IC3, "FBI Guidance for Cryptocurrency Scam Victims" (I-082423-PSA), 2023-08-24. ic3.gov (accessed 2026-10-24)

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