A sophisticated cryptocurrency scam, exploiting a subtle typographical error, allegedly defrauded a donor of $250,000 in digital assets by impersonating a top official of the Trump-Vance Inaugural Committee. U.S. prosecutors announced details of the scheme, highlighting the ongoing threat of online impersonation and crypto fraud.
According to a statement released by the U.S. Attorney’s Office for the District of Columbia, the elaborate deception began on December 24, 2024. The scammer posed as Steve Witkoff, co-chair of the Trump-Vance Inaugural Committee, sending an email to the victim from a fraudulent address: “@t47lnaugural.com.” The illicit email address cunningly replaced the lowercase “i” in the legitimate domain “@t47inaugural.com” with a lowercase “l,” which could appear nearly identical depending on the font used by the recipient.
Dollar-pegged stablecoin
Convinced of the email’s authenticity, the victim proceeded to transfer 250,300 USDT.ETH – a dollar-pegged stablecoin operating on the Ethereum blockchain – to a cryptocurrency wallet controlled by the scammer on December 26, 2024.
“All donors should double and triple check that they are sending cryptocurrency to their intended recipient. It can be extremely difficult for law enforcement to recoup lost funds due to the extremely complex nature of the blockchain,” stated U.S. Attorney Jeanine Ferris Pirro in the press release. “Nevertheless, my office and our law enforcement partners stand ready to go toe-to-toe with criminals and make victims whole.”
FBI investigates
The Federal Bureau of Investigation (FBI) swiftly initiated an investigation, leveraging blockchain analysis to trace the illicit transactions. Their efforts led to the successful recovery of 40,300 USDT.ETH of the stolen funds. These recovered assets are now subject to civil forfeiture proceedings, with the aim of compensating the victim for their losses.
“Impersonation scams take many forms and cost Americans billions in losses each year,” said Assistant Director in Charge Steven J. Jensen, of the FBI Washington Field Office, which is investigating the case. “To avoid becoming a victim, carefully review email addresses, website URLs, and spelling in any messages you receive. Scammers often use subtle differences to deceive you and gain your trust. Never send money, gift cards, cryptocurrency, or other assets to people you do not know personally or have only interacted with online or over the phone. Report suspected scams to the Internet Crime Complaint Center at www.ic3.gov.”
The U.S. Attorney’s Office for the District of Columbia and the FBI continue to warn the public about the prevalence of cryptocurrency scams and the importance of vigilance when conducting online transactions, especially those involving significant sums.
