TLDR
- Federal authorities in Boston initiated civil forfeiture proceedings targeting $327,829 in Tether (USDT) connected to a romance fraud operation
- The scheme involved a Massachusetts victim who was contacted by an individual calling themselves “Linda Brown” through a dating platform in 2024
- The fraud victim transferred money believing it would be invested in legitimate cryptocurrency opportunities
- Law enforcement tracked the illicit funds across several cryptocurrency wallets until conversion to USDT occurred
- Since 2023, Tether has immobilized approximately $4.2 billion in USDT associated with alleged illegal operations
Federal authorities in Boston have launched legal proceedings to reclaim $327,829 worth of Tether following a sophisticated romance scam that victimized a Massachusetts resident through a dating application.
On Monday, the Massachusetts US Attorney’s Office submitted a civil forfeiture petition seeking to seize precisely 327,829.720952 USDT. The legal action revolves around a romance fraud operation that commenced in 2024.
The fraudulent scheme featured an individual operating under the alias “Linda Brown,” who initiated contact with the Massachusetts victim via a dating app. Following multiple weeks of building trust through regular communication, Brown introduced what appeared to be a lucrative cryptocurrency investment proposition.
The unsuspecting victim transferred substantial funds under the impression that the investment opportunity was legitimate. However, when attempting to access their returns and withdraw the principal investment, the victim discovered the devastating truth—they had been defrauded.
“Under the guise of legitimately investing the victim’s money, Brown instead tricked the victim into sending funds to wallets controlled by Brown and/or their co-conspirators,” the attorney’s office said.
According to law enforcement, the stolen assets were systematically transferred through numerous cryptocurrency wallets in an attempt to obscure their origins. Subsequently, the funds underwent conversion into USDT and were integrated into money-laundering operations.
The Department of Justice confirmed that investigators successfully traced portions of the victim’s assets to several unhosted cryptocurrency wallets, which authorities seized in August 2025.
Romance Scams and Crypto Fraud on the Rise
This incident represents just one example of an escalating trend of romance-based cryptocurrency fraud schemes. Earlier this year, in anticipation of Valentine’s Day, the US Attorney’s Office for Ohio’s District released an advisory titled “Cupid Doesn’t Ask for Crypto.”
The warning emphasized that fraudsters leverage social networking platforms and communication applications to cultivate emotional connections before soliciting financial transfers. These elaborate confidence schemes have become known as “pig butchering” operations within law enforcement circles.
The Federal Trade Commission has documented romance scam losses exceeding $1 billion within a single year. Meanwhile, the FBI has classified cryptocurrency-related investment fraud as representing the highest category of financial losses.
Tether’s Role in Freezing Illicit Funds
Tether possesses the technical capability to immobilize its stablecoin through blacklisting specific wallet addresses. The organization has implemented this mechanism in numerous situations flagged by law enforcement agencies.
Most recently in February, Tether froze approximately $544 million purportedly connected to illegal gambling operations and money laundering activities following a formal request from Turkish law enforcement authorities.
A company representative informed Reuters that Tether has immobilized roughly $4.2 billion in USDT linked to suspected criminal enterprises since 2023.
The civil forfeiture filing asserts that all digital assets associated with the confiscated wallets constitute property utilized in money-laundering activities.
