The FBI has issued a warning to cryptocurrency theft victims, emphasizing that paying private recovery firms to trace stolen funds does not guarantee their return. A tracing report can document where stolen crypto moved on-chain but cannot compel any refund or seizure of assets.
Federal authorities stressed that private recovery companies lack the legal authority to issue seizure orders, distinguishing legitimate law enforcement action from commercial tracing services. The warning aims to curb misleading claims by recovery operators who suggest tracing alone equates to fund retrieval.
FBI Warns Crypto Theft Victims: Private Tracing Firms Cannot Recover Stolen Funds
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