How to Recover & Report Stolen Crypto

If you've fallen for a crypto scam, you need to act fast. Learn about options to recover stolen crypto, as well as how to report stolen crypto to the authorities.

How to recover scammed crypto

Falling victim to a crypto scam can be devastating. Whether it was a phishing scheme, a rug pull, or a fake investment platform, the decentralized nature of blockchain often means there's no central authority to turn to. However, while recovery is difficult, it's not entirely impossible. Here's what you can do if you've been scammed out of your crypto.

Read next: Common Bitcoin & Crypto Scams

1. Prevent further losses by acting fast

The first step is to contain the damage. If you connected your wallet to a malicious site or dApp, immediately disconnect it. This can typically be done through your wallet’s settings. Revoke any token approvals using tools like Revoke.Cash or Etherscan’s Token Approval Checker to ensure scammers no longer have access.

Also, change passwords to any associated accounts, especially email or exchange logins, that may have been compromised during the scam.

2. Report the incident

Even though blockchain is decentralized, it's still important to report the scam. Start with local law enforcement to get the scam on official record. Then report the incident to your crypto exchange if it was involved (we’ll cover this in more depth below).

3. Trace the funds (if possible)

All blockchain transactions are public. If you have the scammer’s wallet address, you can trace where your funds went using explorers like Etherscan or Blockchain.com. While this can be technically complex, it might help to at least understand the flow of funds.

In higher-value cases, you might consider hiring a blockchain forensics firm such as CipherTrace, Chainalysis, or TRM Labs. These firms can trace funds across wallets and exchanges, but their services are often expensive and best reserved for substantial losses.

4. Watch out for recovery scams

Unfortunately, the crypto space is filled with “recovery agents” who promise to get your funds back, for a fee. In reality, these are usually just another scam designed to exploit desperate victims. Be wary of anyone who contacts you out of the blue claiming they can recover your assets.

5. Consider the tax implications

In some jurisdictions, stolen crypto may be claimed as a capital loss or theft loss, which could reduce your tax burden. However, the tax treatment of crypto scams varies, so let's dive in.

Read next: How to Avoid Crypto Scams

How to report stolen crypto

If you’re unable to recover your crypto, you should report it to the relevant authorities and agencies.

Step 1: Document everything immediately

As soon as you suspect your crypto has been stolen, begin documenting:

• Transaction IDs (hashes) from the blockchain

• Wallet addresses involved (yours and the thief’s)

• Dates, times, and amounts of transactions

• Communications with the thief, such as emails, text messages, or social media interactions

• Screenshots of suspicious activity or scams

This information is essential for investigators, exchanges, and law enforcement.

Step 2: Contact your exchange or wallet provider

Reach out to your exchange or wallet provider’s fraud or support team. If the funds haven’t yet left the exchange, they might be able to freeze the account. Provide them with:

• Transaction details

• Screenshots or documentation

• Your account ID or email

Companies like Coinbase, Kraken, Binance US, and others have support channels specifically for fraud and security incidents.

Step 3: Report the theft to law enforcement

FBI/ Internet Crime Complaint Center (IC3)

File a complaint at www.ic3.gov. Include all documentation and evidence. Your case may be referred to federal or local law enforcement.

Local police

You should also file a report with your local police department. Provide them with a printed version of your complaint and all evidence. A police report adds legitimacy to your case when dealing with exchanges or legal entities.

Secret Service

The U.S. Secret Service also investigates crypto-related crimes. You can contact a field office or ask your local law enforcement to refer the case.

State authorities

In addition to federal agencies, it’s often helpful to report stolen cryptocurrency to state-level authorities. Many states have dedicated consumer protection or financial enforcement divisions that handle crypto-related scams, fraud, and theft.

Most U.S. states allow you to file consumer fraud complaints through the Attorney General's Office. They can:

• Investigate crypto scams and Ponzi schemes

• Coordinate with federal or local law enforcement

• Warn the public and issue subpoenas to businesses operating in their jurisdiction

To file a complaint:

1. Visit your state AG’s official website

2. Navigate to the “Consumer Protection” or “Fraud” section

3. Submit your complaint online or via mail

Crypto assets that are deemed “securities” (e.g., certain tokens or DeFi investments) may fall under your state’s securities laws. Many states have Securities Divisions or work with the North American Securities Administrators Association (NASAA).

• They investigate crypto investment fraud

• They may assist in freezing accounts or bringing enforcement actions

Find your state’s securities regulator via nasaa.org.

Other databases

You can also file a report with specialized crypto scam databases and platforms:

• Chainabuse

• Scam Sniffer

• Crypto ScamDB

Step 4: Use blockchain tracing tools

Tools like Etherscan, Blockchair, and Blockchain.com explorers let you monitor the movement of funds. You can also tag the thief’s wallet to receive alerts.

For deeper investigation, consider working with firms like:

• Chainalysis

• CipherTrace

• Elliptic

These firms often assist law enforcement and may help trace or freeze stolen assets if they land on a regulated exchange.

Step 5: Seek Legal Help If Needed

If you lost a substantial amount, consult a lawyer specializing in cryptocurrency, cybercrime, or asset recovery. They can:

• Send legal demands to exchanges

• Assist with civil litigation

• Coordinate with law enforcement

Time is critical; funds move quickly between wallets and across borders.

What to expect after reporting

• You’ll receive a report number from the FBI or police

• In many cases, there may be no immediate action, but your case could be used in a broader investigation

• Recovery is not guaranteed, but acting quickly increases the chances

• If funds reach a US-regulated exchange, there is a possibility of freezing them

What about taxes?

Crypto scams may represent a silver lining when it comes to your taxes, but it depends on where you live. Learn more in our guide on how to report stolen cryptocurrency on taxes and our guide on crypto tax write-offs.