A sophisticated scam involving a Nigerian fraudster, American politicians, and cryptocurrencies highlights the importance of vigilance. Deciphering this $250,000 scam emphasizes the need for caution in the crypto industry.
A Nigeria-based scammer impersonated Steve Witkoff, a close ally of President Trump, to extort $250,000 in crypto from an American political donor. Although the FBI managed to recover part of the funds, this case demonstrates the risks and complexity of digital asset-related fraud.
According to court documents, the fraudster created a fake email address resembling that of the Trump-Witkoff inaugural committee. He successfully convinced a donor to transfer $250,000 worth of USDT.ETH to his wallet.
Although the criminal subsequently took steps to launder his illicit gains, the FBI was able to recover and freeze 40,300 USDT.ETH, half of which was found in a Binance account under the name of Ehiremen Aigbokhan, a Lagos-based fraudster also known as a “yahoo boy.”
The U.S. Attorney’s Office is now seeking to return these recovered funds to the victim. Unfortunately, more than $210,000 in cryptocurrency sent to the scammer has not yet been recovered :
“All donors must double-check that they are sending cryptocurrency to the intended recipient,” U.S. Attorney Jeanine Ferris Pirro said in a statement. “It can be extremely difficult for law enforcement to recover lost funds due to the extreme complexity of the blockchain. Nevertheless, my office and our law enforcement partners are ready to confront criminals and compensate victims.”
Several local media outlets have reported that U.S. authorities are seeking an official arrest warrant for Aigbokhan.
It’s worth noting that Witkoff and his son Zach maintain close ties with the Trump family’s main crypto project, World Liberty Financial.
Both Binance and Tether cooperated with the government investigation, according to the Department of Justice.
This case highlights the importance for investors to thoroughly verify the recipients of their crypto transactions. Although authorities are working to track down criminals and compensate victims, recovering lost funds on the blockchain remains extremely complex. Caution and due diligence are essential to avoid falling into these sophisticated traps.
Charles Ledoux is a Bitcoin and blockchain technology specialist. A graduate of the Crypto Academy, he has been a Bitcoin miner for over a year. He has written numerous masterclasses to educate newcomers to the industry and has authored over 2,000 articles on cryptocurrency. Now, he aims to share his passion for crypto through his articles for InvestX.
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