Silver shield containing a six-node scam network inside an orange security ring on black

US Authorities Disrupt 241 Crypto Scam Sites and 112 Servers

Yuki Lin
Yuki Lin
Updated on 10/15/2026 03:05:18

Brooklyn prosecutors and the FBI disrupted 241 crypto scam domains and 112 servers tied to an operation that stole tens of millions of dollars.

Brooklyn prosecutors and the FBI disrupted 241 fraudulent cryptocurrency investment domains and 112 servers in an international enforcement action announced October 14. Officials said the network stole tens of millions of dollars, disproportionately targeting Russian-speaking residents in Brooklyn and elsewhere in the United States. Broader digital-asset developments are available through OrangeX.com Crypto News.

What authorities disrupted

The Brooklyn District Attorney's Virtual Currency Unit said it executed warrants and coordinated actions across three time zones during the previous week. The operation removed 241 scam domains and a cluster of 112 cloud servers hosted by companies in the United States and Eastern Europe.

Investigators had previously seized or disrupted about 400 related domains. They said targeting the underlying servers was important because operators could quickly replace individual websites while retaining victim data, software and campaign infrastructure.

How the investment scam worked

According to the official account, victims often encountered Russian-language investment advertisements on social media. A supposed adviser then called in Russian, helped the victim create an account on a fake investment platform and directed cryptocurrency transfers to addresses controlled by the scheme.

The platform displayed apparent returns, but withdrawals were blocked or conditioned on extra taxes and fees. Recovered data also indicated a second-stage recovery scam: victims were contacted again with false promises that their stolen assets could be recovered.

Losses and recovery status

Authorities estimate that the operation stole tens of millions of dollars. The district attorney's office said it has seized about $300,000 so far and is working to recover more. That distinction matters: disabling infrastructure can prevent further losses, but it does not mean all stolen funds have been returned or that every operator has been identified.

Users should treat unexpected investment approaches, guaranteed returns and withdrawal fees as warning signs. General account and platform safeguards are outlined in the OrangeX.com Trust Center.

What users can learn from the takedown

The case shows why a polished dashboard is not proof of custody or investment performance. Before sending assets, users should verify the firm's legal identity, license, official domain and withdrawal terms through independent channels. Remote-access requests, private messaging apps and pressure to add funds are additional red flags.

Cross-border tracing also remains central. A separate OrangeX.com report on Singapore's tracing of crypto scam losses explains how investigators use transaction records and coordinated requests to follow stolen assets.

OrangeX.com Analysis

The confirmed result is a major infrastructure disruption: 241 domains and 112 servers were taken out of the operators' control. It is reasonable to expect that this will slow the network's ability to contact existing victims and launch replacement sites, but the duration of that effect is not yet known. The estimated losses, recovery total and any future charges should be tracked separately. Users should not assume that a seized website guarantees reimbursement, and victims should report transactions promptly rather than pay anyone claiming they can recover funds for an upfront fee.

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