Interpol Declares Crypto Fraud a Global Threat Amid Rising Criminal Networks

International Police Organization Adopts Landmark Resolution to Combat Tech-Enabled Crime and Human Trafficking

In a watershed moment for global law enforcement, the International Criminal Police Organization (Interpol) has formally classified cryptocurrency-enabled fraud as a global criminal threat, marking a significant escalation in the international response to technology-facilitated crime. The designation comes as part of a comprehensive resolution adopted at Interpol’s General Assembly aimed at dismantling transnational scam operations that blend sophisticated financial crimes with human trafficking and severe human rights abuses.

The resolution represents the culmination of years of mounting evidence that criminal syndicates are exploiting both technological advances and vulnerable populations to create industrial-scale fraud operations. According to Interpol’s documentation, these criminal enterprises have evolved into complex networks that span continents, operating from compounds where victims—often lured by promises of legitimate employment abroad—are forced to perpetrate various schemes targeting victims worldwide. The fraud operations encompass a broad spectrum of criminal activities, from traditional voice phishing and romance scams to more sophisticated investment frauds and cryptocurrency schemes designed to exploit the relatively nascent regulatory frameworks surrounding digital assets.

“These aren’t isolated incidents but rather manifestations of a coordinated global criminal infrastructure,” explained an Interpol spokesperson in a briefing following the announcement. “What makes these operations particularly insidious is their dual nature as both fraud networks and human trafficking operations.” Investigators have documented that while some individuals working in these centers are willing participants, many others are effectively modern slaves—held against their will in conditions that include physical violence, torture, and sexual exploitation. Survivor testimonies detail harrowing accounts of individuals forced to meet daily quotas of fraudulent transactions under threat of severe punishment, creating a disturbing nexus between technology-enabled financial crime and human rights violations.

Law Enforcement Faces Unprecedented Challenges as Criminal Networks Evolve

The exponential growth of these criminal enterprises has been facilitated by several converging factors, including the increasing sophistication of digital communication technologies, the relative anonymity provided by cryptocurrency transactions, and the exploitation of jurisdictional gaps in international law enforcement. Interpol’s resolution acknowledges that traditional approaches to policing are insufficient against these evolving threats, necessitating a fundamental shift toward more coordinated multinational responses.

“To effectively counter these criminal networks, we must strengthen collaboration, improve information sharing, and move forward with coordinated, decisive action,” stated Interpol Secretary General Valdecy Urquiza. “INTERPOL is committed to supporting the resolution’s implementation and working with member countries to break these operations apart and protect the people who are most at risk.”

The resolution establishes a framework for enhanced international cooperation that includes real-time intelligence sharing mechanisms designed to rapidly identify perpetrators and pinpoint operational locations; multinational joint operations supported by Interpol’s technical and coordination resources; targeted financial investigations to disrupt criminal financing and seize illicit assets; and standardized emergency protocols for victim rescue, repatriation, and support services. Additionally, the plan calls for coordinated global awareness campaigns specifically targeting vulnerable populations, particularly youth and job seekers who represent the primary recruitment targets for these criminal networks.

Geographic Expansion Reveals Global Scope of Criminal Operations

What began as a regional concern primarily concentrated in Southeast Asia has rapidly evolved into a truly global phenomenon. Interpol’s June crime trend update revealed that victims from more than 60 different countries have been trafficked into fraud centers operating across multiple continents, significantly beyond the original geographic focus. This expansion demonstrates both the profitability of these criminal operations and their ability to adapt to increased law enforcement pressure in any single region.

The criminal activities associated with these networks have also shown increasing convergence with other forms of organized crime, including drug trafficking, illegal weapons sales, and wildlife crime—suggesting that established criminal organizations are diversifying their operations to include technology-enabled fraud. This convergence creates additional challenges for law enforcement as specialized units typically focused on distinct crime types must now coordinate their efforts against integrated criminal enterprises that span multiple criminal domains.

2024 marked a turning point in the international response, with Interpol coordinating its largest-ever global operation targeting trafficking-driven fraud across 116 countries and territories. This unprecedented effort resulted in more than 2,500 arrests and the disruption of numerous criminal networks. Supplementary regional operations conducted throughout Africa and Europe have further demonstrated both the global scale of the problem and the potential effectiveness of coordinated international responses when properly resourced and executed.

High-Profile Cryptocurrency Cases Highlight Enforcement Challenges

The formal designation of crypto-enabled fraud as a global threat comes against the backdrop of several high-profile cases that have highlighted both the scale of cryptocurrency-related crimes and the challenges associated with bringing perpetrators to justice. These cases illustrate the diverse nature of cryptocurrency-related criminal activities and the increasing focus of international law enforcement on this sector.

Among the most notable cases is that of Do Kwon, co-founder and CEO of Terraform Labs, who became the subject of an Interpol Red Notice in 2022 following the catastrophic collapse of the Terra ecosystem, which wiped out approximately $40 billion in investor value. More recently, Hong Kong cryptocurrency promoter Wong Ching-kit was added to Interpol’s alert system in July 2024 for his alleged involvement in multiple criminal schemes, including a cryptocurrency fraud operation that allegedly defrauded victims of more than $384,310.

Perhaps most illustrative of the complex international nature of these investigations is the case of Richard Schueler, better known as Richard Heart, the founder of the Hex cryptocurrency. Schueler was listed under an Interpol Red Notice in December 2024 at the request of Finnish authorities investigating allegations of tax fraud and assault. These cases demonstrate that cryptocurrency-related crimes frequently cross international borders, involve substantial financial harm to victims, and often coincide with other criminal activities—all factors that have contributed to Interpol’s decision to elevate the threat classification.

A Watershed Moment in the Fight Against Technology-Enabled Crime

Interpol’s formal designation of crypto-enabled fraud as a global criminal threat represents a watershed moment in the international community’s approach to combating technology-facilitated crime. By explicitly recognizing the scale and severity of these operations, the resolution provides both a framework for enhanced international cooperation and a mandate for increased resource allocation to address what has become one of the most significant criminal threats of the digital age.

The resolution’s emphasis on both the criminal networks and their victims reflects a growing understanding that effective responses must address not only the financial crimes being committed but also the human trafficking and exploitation that often enable them. As criminal organizations continue to exploit technological innovations and vulnerable populations, the international law enforcement community faces the dual challenge of adapting its tactics to counter increasingly sophisticated criminal methods while simultaneously developing more effective victim-centered approaches to identification, rescue, and support.

“This isn’t simply about protecting financial systems or preventing fraud,” noted one senior Interpol official who spoke on condition of anonymity. “At its core, this is about dismantling modern slavery operations that are powered by technology and financed through digital assets. The human cost is incalculable.” As implementation of the resolution moves forward, the true measure of its success will not only be in the number of criminal networks disrupted or assets seized, but also in the number of trafficking victims identified, rescued, and supported in rebuilding their lives after exploitation.