A Bitcoin investor lost his retirement savings after falling victim to a pig butchering scam, according to an account shared by Terence Michael, a wealth adviser at The Bitcoin Adviser.
Michael explained in a post on X that his client, recently divorced, was lured by a scammer posing as a trader who promised to double his Bitcoin holdings.
The scammer also feigned romantic interest, a hallmark of pig butchering schemes that rely on emotional manipulation rather than technical exploits.
Adviser unable to stop the loss
Despite numerous phone calls and messages, Michael could not dissuade his client from sending his Bitcoin to the scammer.
Michael shared the outcome:
“My client was falling for a pig butchering scam. And as of last night while out to dinner, I received a devastating text message from him saying he had lost it all.”
In addition to losing his Bitcoin retirement stash, the victim bought a plane ticket for the scammer, expecting to meet her.
After the funds were sent, the scammer admitted the photos used were AI-generated and the relationship was fabricated.
Pig butchering scams escalate
Pig butchering scams have become a significant threat, costing cryptocurrency holders a collective $5.5 billion in 2024 across 200,000 cases, according to Cyvers.
These scams are a subset of phishing attacks, with 35% involving a grooming period of one to two weeks, while 10% stretch up to three months.
Authorities respond to rising threat
In June, the US Department of Justice seized over $225 million in bitcoin and other assets tied to pig butchering schemes.
Chainalysis warned these scams are now considered a national security concern.
