FRAUD & CRYPTO
I fell for a crypto scam: can it be traced and recovered?
The blockchain records every transfer, and the money usually passes through exchanges that identify their customers. See how tracing works, what to do in the first hours and how to avoid the “recovery scam”.
IN 30 SECONDS
- Transactions on a public blockchain can be traced wallet by wallet.
- Exchanges identify customers, which allows courts to order freezes and identification.
- Acting fast and saving TXIDs and wallets greatly improves the odds.
- Anyone guaranteeing full recovery for an upfront fee is a scam.
Crypto scams tend to follow the same script: an “investment platform” with high returns, a friendly account manager on WhatsApp and, when you try to withdraw, new fees that never end. Afterwards everyone asks the same question: can the money be traced and recovered? In many cases it can be traced. Recovery depends on speed and on where the money ended up.
Why it can be traced
Most cryptocurrencies, such as Bitcoin, Ethereum and USDT, record every transaction on a public blockchain. Names don’t appear, but every transfer is stored forever, with the amount, date and the sending and receiving wallets. The investigation follows that path, wallet by wallet, up to the point where the scammer has to swap the crypto for reais or dollars.
That point is usually an exchange, and exchanges identify their customers. In Brazil, Central Bank Resolutions 519, 520 and 521, in force since February 2, 2026, require virtual asset service providers to be authorized, to run anti-money-laundering controls and to identify account holders, including on transfers to self-custody wallets. That makes it more feasible to ask a court to identify the holder and freeze the funds.
What helps and what hurts recovery
| Helps | Hurts |
|---|---|
| Acting in the first hours or days | Waiting weeks before seeking help |
| Funds sitting at an exchange that identifies customers | Funds passed through mixers and several networks |
| Transaction hashes and wallet addresses saved | Chats and receipts deleted |
| A court freeze request backed by a technical report | Paying so-called “recovery experts” without checking them |
What to do in the first hours
- Stop sending money
No “withdrawal fee”, “tax” or “insurance” will release your balance. That is the scam itself. - Keep everything
The hash (TXID) of each transaction, wallet addresses, the website and app used, chats, emails and receipts. - Alert the exchange the crypto left from
Ask for the transaction record and report that it was fraud. - File a police report
Ideally with a police unit that specializes in cybercrime. - Trace and request a freeze
The tracing report shows where the money went and supports the urgent freeze request filed by your lawyer.
Beware of the “recovery scam”
After the first scam, many victims are approached by “hackers” or “firms” that guarantee full recovery for an upfront fee. Anyone who guarantees results and asks for money in advance, in crypto, is almost always the same group running a second scam. Serious recovery relies on technical tracing, a report and court action, never on breaking into systems.
How the investigation works
- Collection and preservation
Evidence is preserved with hashes and chain of custody so it can be used in court. - Blockchain tracing
We follow the funds across wallets, networks and conversions to the exit points. - Infrastructure identification
Websites, domains, profiles and phone numbers used in the scam are investigated in open sources. - Technical report
A clear document with the money trail and the exchanges involved, so your lawyer can request a freeze and identification.
Quick checklist
- No further payments made to the scammer
- TXIDs, wallets, website and chats saved
- The originating exchange alerted
- Police report filed
- Tracing started and a lawyer engaged for the freeze
HOW CiBER DETETiVE CAN HELP
Fraud & Scam Tracking
Tracing of fraud, scams and crypto assets, with a technical report to support freezes and recovery.
For information only. This does not replace a professional review of your specific case. Legal references reflect the rules in force on the publication date (Brazilian law).