North Carolina Authorities Seize $61 Million in USDT Linked to Pig Butchering Scam

Federal prosecutors in North Carolina have seized more than $61 million in USDT connected to a large scale cryptocurrency investment scam commonly known as “pig butchering.” The U.S. Attorney’s Office for the Eastern District of North Carolina confirmed that the funds were traced to digital wallets allegedly used to launder proceeds from fraudulent online trading schemes.

Investigators from Homeland Security Investigations tracked victim payments through multiple blockchain addresses, identifying wallets that still contained significant balances eligible for seizure and forfeiture. Authorities said the operation targeted networks that cultivated fake romantic relationships before convincing victims to invest in sham crypto platforms displaying fabricated profits.

How the Pig Butchering Scheme Operated

According to court filings, victims were encouraged to deposit funds into fraudulent trading websites. When withdrawal requests were made, scammers demanded additional payments labeled as taxes or service fees. Stolen funds were then transferred across layered wallet structures to obscure their origin.

The seized assets consisted primarily of Tether (USDT), a dollar pegged stablecoin frequently used in global crypto transactions.

The enforcement action reflects intensifying efforts by US authorities to disrupt digital asset fraud and recover illicit proceeds tied to cross-border cryptocurrency scams.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.