Upbit’s recent $36 million Solana hot wallet hack underscores the evolving role of hot wallet insurance in crypto exchange security. After detecting unauthorized withdrawals, Upbit’s CEO pledged that all losses would be covered from the company’s own holdings, mirroring its response to a $50 million Ethereum hack in 2019.

Pig-butchering scams, a form of long‑con crypto investment fraud, have exploded from a niche consumer issue into a major national security threat, according to Chainalysis and financial crime experts. In these schemes, scammers build trust over weeks or months—often via online romance or friendship—before steering victims into fake cryptocurrency investment platforms and draining their funds.

Samourai Wallet co-founder Keonne Rodriguez received the maximum sentence of five years in federal prison for operating an unlicensed Bitcoin mixing service that prosecutors said laundered more than $200 million in illicit funds. Judge Denise Cote of the Southern District of New York also imposed a $250,000 fine, underscoring the court’s view that the service was designed to obfuscate blockchain transaction trails and enable crypto crime tied to darknet markets, hacks, and fr

Stream Finance has paused deposits and withdrawals after an external fund manager disclosed a roughly $93 million loss in fund assets, according to the protocol’s announcement on X. The team said it has engaged Perkins Coie attorneys Keith Miller and Joseph Cutler to investigate and is withdrawing all liquid assets while providing periodic updates.

On Nov. 3, 2025, decentralized exchange Balancer—long considered one of DeFi’s more conservative, infrastructure-grade protocols—suffered a multi-chain exploit that drained an estimated $128 million from pools spanning Ethereum, Berachain, Arbitrum, Base, Optimism, Polygon, and Sonic.

The T3 Financial Crime Unit (T3 FCU)—a private coalition formed by Tether, TRON, and TRM Labs—froze over $300 million in criminal cryptocurrency assets across 23 countries in its first year, outpacing many government agencies. According to the report, the United States led with $83 million frozen across 37 cases, while cases spanned fraud, scams, money laundering, and high-profile hacks, including $19 million traced to DPRK-linked actors from the Bybit hack.

The UK is moving to compensate victims of a massive Bitcoin fraud tied to a 61,000 BTC seizure, but court filings and policy signals suggest the government may retain most of the estimated $7.2 billion haul after restitution. The Home Office is developing a centralized “crypto storage and realisation framework” to manage confiscated digital assets, while civil recovery proceedings determine how funds are distributed.

A phishing attack exploiting Ethereum’s recent EIP‑7702 upgrade drained nearly $1 million in tokens from a single investor after they signed a deceptive batch transaction that appeared to be a Uniswap swap. EIP‑7702 (part of the Pectra upgrade) was designed to give external accounts temporary “smart‑contract” capabilities—batching transactions, gas sponsorship and spending limits—to improve user experience.

U.S. authorities have moved to seize more than $2.8 million in cryptocurrency, along with $70,000 in cash and a luxury vehicle, from a wallet controlled by Ianis Aleksandrovich Antropenko, who is charged with conspiring to commit computer fraud and money laundering. Unsealed warrants allege the assets are proceeds of ransomware activity or were used to launder such proceeds.

Do Kwon, the co-founder of Terraform Labs, is expected to change his plea to guilty in a U.S. criminal case tied to the 2022 collapse of TerraUSD (UST) and LUNA, which wiped out roughly $40 billion in market value. A change-of-plea hearing has been set for August 12 at 10:30 a.m. in Manhattan federal court before Judge Paul A. Engelmayer.

CrediX, a decentralized finance (DeFi) protocol, recently recovered $4.5 million in stolen cryptocurrency after reaching a private settlement with the hacker responsible for the exploit. The breach occurred when attackers gained unauthorized access to CrediX’s multisig admin and bridge wallets, allowing them to mint collateral tokens, borrow against the protocol, and drain its liquidity.

Solana Labs and Jito Labs have been named as co-defendants in an amended federal lawsuit alleging their involvement in a $1.5 billion fraud connected to the Solana-based memecoin launchpad, Pump.Fun. The lawsuit, filed by Burwick Law in the Southern District of New York, claims that these firms were not just infrastructure providers but active participants in a scheme that included illegal gambling, wire fraud, and unlicensed money transmission.

Greek authorities have successfully executed the country’s first-ever cryptocurrency seizure, targeting funds linked to the massive $1.5 billion Bybit exchange hack that occurred in February 2025. The hack, widely attributed to North Korea’s Lazarus Group, involved the theft and laundering of a significant amount of ether.

WazirX, a major cryptocurrency exchange, is currently facing a legal battle in Singapore’s High Court after users accused its local entity, Zettai, of freezing both crypto and fiat balances without clear justification. The dispute centers on claims that even assets unaffected by previous hacks—such as Bitcoin, XRP, Tron, Binance Coin, Tether, and fiat currency—were wrongly withheld from users.

The Financial Action Task Force (FATF), a global financial watchdog, has issued a stark warning about the increasing misuse of stablecoins for illicit activities as international efforts to regulate cryptocurrencies continue to lag behind. In its latest report, the FATF highlighted that stablecoins have become the dominant vehicle for illegal on-chain activity, driven by their low costs, fast settlement times, and broad liquidity.

The U.S. Department of Justice (DOJ) has seized over $225 million in cryptocurrency, marking the largest crypto seizure in U.S. Secret Service history. This action is part of a crackdown on a global fraud network that targeted more than 400 victims through so-called “pig butchering” scams.

Taiwan-based cryptocurrency exchange BitoPro recently experienced a significant security breach, resulting in the theft of approximately $11.5 million worth of digital assets.

Russian investigators have reportedly seized approximately $8.2 million worth of cryptocurrency from a suspect accused of maintaining servers for Hydra, a notorious darknet marketplace.