A
advanced fee scam: A scammer convinces you to pay in advance or make a deposit for something that they never actually provide. These scams are very common in social media and sites like Facebook Marketplace.
B
bitcoin: A type of digital money that exists only online. You can use it to send, receive, or store value without a bank. Bitcoin itself is legitimate, but scammers often use it because payments are difficult to reverse once sent. See cryptocurrency.
bitcoin ATM: A standalone machine often found in a convenience store that lets you buy or send cryptocurrency using cash, a debit card, or other payment methods. Scammers often direct victims to crypto ATMs because the transactions are difficult to reverse and scammers can quickly move the funds to other accounts. Also crypto ATM or crypto kiosk.
blockchain: A digital ledger that stores information across a worldwide computer network. Cryptocurrency transaction data is stored in files known as “blocks,” which are saved chronologically to create a digital “chain.” Each block has a unique identifier, or hash, that includes data from the previous blocks in the chain. Blockchains are distributed, which means copies are saved across multiple computers and must match across the network to be valid, rather than relying on a centralized third party, like a bank. Blockchain technology is also used to store data, such as medical information or property records.
Learn how organized crime groups use cryptocurrency to steal and launder funds in large-scale scams in “The Coin Laundry” article from the International Consortium of Investigative Journalists (ICIJ).
C
charity scam: Criminals create a fake charity or impersonate a real one to convince you to donate money.
crypto ATM: A standalone machine often found in a convenience store that lets you buy or send cryptocurrency using cash, a debit card, or other payment methods. Scammers often direct victims to crypto ATMs because the transactions are difficult to reverse and scammers can quickly move the funds to other accounts. Also, bitcoin ATM or crypto kiosk.
cryptocurrency: A type of digital money that exists only online. You can use it to send, receive, or store value without a bank. Cryptocurrency is legitimate, but scammers often use it because transactions are difficult to reverse once sent. Learn more: “What To Know About Cryptocurrency and Scams,” from the Federal Trade Commission.
cryptocurrency exchange: An online platform where you can buy, sell, trade, or store cryptocurrency. Many crypto exchanges are legitimate, but scammers may create fake exchanges or direct you to fraudulent websites to steal your money or personal information.
crypto tracing: The process of following cryptocurrency transactions on a public blockchain to see where funds have moved. While tracing can help investigators identify suspicious activity, it does not guarantee that stolen cryptocurrency can be recovered.
crypto wallet: A digital tool that lets you store, send, and receive cryptocurrency. Some wallets are apps or websites, while others are physical devices. If someone gains access to your wallet or its recovery phrase, they can steal your cryptocurrency.
D
dark web: Hidden areas of the “deep web” that are not indexed by internet search engines and require special software to access. Sites use the internet, but can communicate anonymously and are known for hosting illegal activities and marketplaces. Most web users access the “surface web,” which is the area accessible by typical web browsers. Learn more on the Stolen Podcast episode, “How Crypto, the Dark Web, and Fentanyl Deaths Are Connected.”
data breach: A security incident in which personal or sensitive information is accessed, exposed, or stolen without permission. If your information is part of a data breach, scammers may use it to target you with identity theft, fraud, or phishing scams.
deepfake: A fake image, video, or audio recording created with (AI) to make it look or sound like a real person. Scammers use deepfakes to impersonate trusted people, spread false information, or convince you to send money or share personal information. Learn more on the Stolen Podcast episode, “Deepfakes, AI, and Scams: Seeing Is No Longer Believing.”