Crypto crime surged in the first half of 2025, with average losses per incident reaching $7.1 million, according to Coinpaper. TRM Labs and CertiK attribute the rise to minimal regulation, retail FOMO, and influencer-driven token launches. The disappearance of Abacus Market, a major Bitcoin-based darknet marketplace, is suspected to be a large exit scam, following the seizure of Archetyp Market. Experts warn that without smarter regulation and public education, crypto crime will continue to escalate. Former DEA agent Bill Callahan highlights the combination of hype, limited oversight, and rapid asset creation as factors empowering malicious actors. Despite increased enforcement actions, the decentralized nature of crypto markets continues to attract both honest participants and bad actors, underscoring the need for targeted regulation to protect users and allow the crypto space to mature.