US Justice Department seeks to recover $456K in USDT tied to romance scams

The US Department of Justice has filed a civil forfeiture action seeking to recover approximately $456,602 in Tether $USDT allegedly linked to online romance and cryptocurrency investment scams.
According to federal prosecutors in Massachusetts, scammers approached victims through dating websites and Facebook, building personal relationships before introducing fraudulent crypto investment opportunities.
Victims were directed to fake trading platforms that displayed fabricated profits. When they attempted to withdraw their funds, they were asked to pay additional fees and taxes, only to discover the investments were fraudulent.
Investigators traced the suspected proceeds to two cryptocurrency wallets and seized the funds with assistance from Tether.
The DOJ is now seeking legal forfeiture of the assets, which could eventually allow the funds to be returned to victims once outstanding claims are resolved.
The case highlights how romance scams continue to exploit cryptocurrency payments, while blockchain tracing and stablecoin freezes can help authorities recover stolen funds.