Coin Market

Spot crypto scams early: California’s new tracker tool, explained

Published

2 months ago

March 20, 2025

What is California’s crypto scam tracker tool?

On Feb. 16, 2023, the Department of Financial Protection and Innovation (DFPI) in California launched the crypto scam tracker tool to help residents spot and avoid crypto scams. The tracker details crypto scams identified through a review of complaints submitted by the public.

California’s DFPI crypto scam tracker is a searchable database that compiles complaints about fraudulent schemes. Investors can use the database to identify and avoid crypto scams. You can search the database using company name, scam type or keywords.

The tracker includes a glossary to explain commonly used crypto terms and is regularly updated with new scam reports. The glossary may not provide extensive information on prevalent crypto scams, but it equips you with the knowledge required to identify scams and protect yourself.

The scam tracker tool has compiled the information from public complaints and has not independently verified reported losses. As the DFPI receives complaints about new crypto scams, it updates the information on the tracker to keep the investors informed.

Anyone who has fallen victim to a crypto scam or fraud or becomes aware of a scam not yet listed on the scam tracker can inform the DFPI. You can submit a complaint online at dfpi.ca.gov/file-a-complaint or contact the department via toll-free phone at (866) 275-2677. Companies that have been mistakenly included in the tracker can contact the DFPI at ask.dfpi@dfpi.ca.gov for assistance.

Did you know? In 2024, the DFPI received more than 2,668 complaints from investors in California and across the US. Based on these complaints, in partnership with the California Department of Justice, it shut down more than 26 different crypto scam websites and unraveled $4.6 million in consumer losses.

How to use California’s crypto scam tracker tool

California’s scam tracker tool is invaluable for identifying patterns in scammer behavior and helping investors avoid similar scams. Additionally, it encourages investors to report scams, contributing to the safety of the community.

The tracker can be broadly used in three ways:

For due diligence: You can search for specific companies or websites using the tool to uncover existing complaints. This feature helps you gain insights into others’ experiences with similar offers, allowing for a preliminary risk assessment. However, it’s important to note that the absence of complaints doesn’t guarantee legitimacy, as scam sites often rebrand or operate under different names.For analysis of messaging: The scam tracker enables you to analyze suspicious messaging by searching relevant keywords. You could use terms like “lending” or “insurance” to discover patterns and similarities between the offers you have received and past complaints. This comparative approach helps you identify potential red flags and recognize the tactics of the scamsters.For education and prevention: The tracker’s glossary serves as an educational resource, outlining various terms used in crypto scams. By familiarizing yourself with these tactics, you can significantly enhance your awareness and protect yourself from falling victim to fraudulent schemes. This proactive approach to education is essential in navigating the complex and often risky cryptocurrency market.

Did you know? The Federal Bureau of Investigation’s (FBI) 2023 Cryptocurrency Fraud Report shows California faced the highest crypto-related losses in the US, reaching $1.15 billion. Within the FBI San Francisco Field Office’s jurisdiction, losses totaled $260,313,902, affecting 1,226 victims across 15 counties, including Alameda, San Francisco and Santa Clara.

How does California’s scam crypto tracker tool work?

The tracker compiles scams reported directly by consumers. The entries detail descriptions of losses to the complainants. To view the information shared with the DFPI, you may use the search function to explore complaints by company, scam type or keywords.

For instance, if you search using the keyword “trading platforms,” the tracker lists scams associated with the keyword. The tracker is segregated into five columns, comprising primary subject, complaint narrative, scam type, website and screenshot.

To change the order of the list, you can click the arrow beside the column header.

You can also determine the number of entries you want to see at the time. To select the number of entries on a page, click the dropdown box at the bottom of the list and select your chosen number.

To toggle between the pages displaying the entries, you can use the buttons “Previous” and “Next.”

Fraudulent schemes listed by California’s crypto scam tracker tool

The crypto scam tracker exposes many fraudulent schemes plaguing the crypto space. From fake job offers to pig butchering scams, the tracker sheds light on the tactics used to deceive investors.

Here are some examples of scams listed in the glossary section of the tracker tool.

Pig butchering scam: A pig butchering scam involves fraudsters building trust with you through social, romantic or business interactions before luring you into a fake investment scheme and persuading you to transfer funds to a fraudulent platform. These platforms might even display fake profits to encourage further deposits. Victims are denied withdrawal of funds on various pretexts, and scammers eventually disappear with the money.

Rug pull scams: These schemes involve developers who intentionally attract investors with false promises of high returns only to disappear with the money later. They often create a buzz on social media by roping in celebrities, which shoots up the cost of the tokens. Then the developers sell off their tokens to make big profits and crash the price, leaving investors with worthless tokens.

Did you know? A single X post by Argentine President Javier Milei, promoting the LIBRA token, caused its market capitalization to surge to $4 billion. However, the subsequent deletion of the post within hours led to a rapid crash, resulting in substantial losses for investors.

Crypto job scams: Fraudsters pose as recruiters, luring victims with fabricated job offers to steal cryptocurrency and sensitive data. These positions usually offer easy money in return for “jobs” that don’t require any specific expertise. For instance, the fraudster may be offering 100 US dollars for watching an hour of advertisements. These scams are designed to trick individuals into depositing crypto with fraudsters and getting access to critical information such as passwords to their wallets.

Wallet drainer scams: Crypto drainers are designed to steal your digital assets by transferring them to a scammer’s wallet. These schemes tend to use social engineering, where fraudsters build trust with you through deceptive emails, calls and fabricated documents. They create fake crypto websites, enticing you with promises of airdrops or non-fungible token (NFT) minting. You end up approving transactions, believing you are signing legitimate contracts or claiming rewards, only to have your wallet emptied.Fraudulent trading platform: The scammer creates a deceptive website or application, persuading victims to deposit funds by presenting it as an exclusive investment opportunity. These fraudulent platforms are designed to look authentic, often mimicking actual price movements and generating fake profits to appear legitimate.Imposter scams: Imposter scams involve fraudsters posing as trusted figures, such as company executives, support staff or government officials, to deceive victims into sending funds or sharing sensitive information. These scammers often use fake websites, social media accounts or phishing emails to appear credible. Bitcoin mining scams: Bitcoin mining scams lure investors with fake opportunities to fund mining operations. Scammers claim invested capital will build the necessary infrastructure, like GPUs and servers, promising a share of the mined Bitcoin (BTC) as returns. But these investments are fraudulent, and the promised infrastructure rarely, if ever, exists.

Steps taken by other US agencies and states to raise crypto scam awareness

Protecting crypto investors from these fraudulent practices requires a robust and multifaceted approach. US federal and state regulators are collaborating to educate investors about emerging scam patterns and compile a comprehensive defense against fraudsters.

The Federal Trade Commission (FTC) protects consumers from scams. Users can report fraudulent activities on the FTC website and also find information on different types of scams. The FTC also manages the National Do Not Call Registry, which helps consumers block unwanted calls.

Another key agency, the Consumer Financial Protection Bureau (CFPB), plays an active role in regulating crypto assets. It issues fraud warnings, investigates companies, and reviews consumer complaints.

Several US states have also taken initiatives to combat scams:

New York: The New York Attorney General’s Office runs the Consumer Frauds and Protection Bureau, which investigates scams and offers tips to help consumers stay safe.Massachusetts: The Massachusetts Attorney General’s Office uses advanced tools like the TRM Labs blockchain intelligence platform to trace stolen funds and fight crypto-related scams.Texas: The Texas Attorney General’s Consumer Protection Division assists scam victims and guides them to avoid fraud.Florida: The Florida Department of Agriculture and Consumer Services maintains a Consumer Protection webpage with scam prevention tips and a complaint submission option.

The US follows a multi-layered approach to crypto scam prevention and consumer protection. Federal agencies like the FTC and CFPB provide nationwide oversight and resources regarding the crypto space, while state-level initiatives offer localized support and specialized tools. This collaborative effort, combining education with enforcement, underscores the importance of vigilance and proactive measures in dealing with the complex landscape of scams.

However, due to the fragmented crypto crime reporting system in the US, industry leaders advocate for a unified platform that consolidates data and allows victims to track complaints. While still in development, understanding this need helps set realistic expectations and supports ongoing reform efforts.

As more stakeholders push for standardized measures, such a platform could significantly improve transparency, support victims, and foster stronger accountability within the crypto space.

Coin Market

Trump Media Group reverses stance, confirms $2.5B Bitcoin capital raise

Published

32 minutes ago

May 27, 2025

Trump Media and Technology Group (TMTG), the company that owns US President Donald Trump’s Truth Social platform and is partially owned by the president, confirmed a $2.5 billion capital raise to purchase Bitcoin (BTC) after denying earlier reports of the deal.

According to a May 27 announcement from the company, the capital raise comprises a $1.5 billion stock sale and $1 billion in convertible senior secured bonds, with a 0% coupon. The sale is expected to close on May 29. TMTG CEO Devin Nunes said:

“We view Bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets. This investment will help defend our Company against harassment and discrimination by financial institutions.”

TMTG spokespeople responded to the initial report from the Financial Times, published a day before the announcement, with derision.

“Apparently, the Financial Times has dumb writers listening to even dumber sources,” TMTG representatives told the FT.

Shares of TMTG sank following the $2.5 billion capital raise announcement. Source: TradingView

Shares of TMTG fell by over 12% following the announcement and were trading around $23.60 at the time of publication.

The funding deal comes as a growing number of corporations and countries adopt Bitcoin treasury strategies as the digital asset matures into a financial instrument of geopolitical importance.

Bitcoin treasury companies keep stacking

Several Bitcoin treasury companies increased their holdings in May this year, including Michael Saylor’s Strategy. According to SaylorTracker, the company acquired an additional 4,020 BTC on May 26.

Technology company Semler Scientific purchased 455 BTC, valued at over $50 million, for its treasury, an acquisition the company disclosed in a May 23 filing.

Investment firm MetaPlanet, widely regarded by investors as Japan’s MicroStrategy, acquired an additional 1,004 BTC on May 19.

Market analyst Jesse Myers recently predicted that at the current rate of institutional accumulation, large entities will own 50% of the total Bitcoin supply by 2045.

Myers added that this growth in institutional adoption is driven by a flight to safety from traditional asset classes.

“Over the last two years, an exodus from fiat assets — bonds and money — has already begun. Hard money assets, BTC and gold, are where things are shifting,” the analyst wrote in a May 22 X post.

Magazine: Metric signals $250K Bitcoin is ‘best case,’ SOL, HYPE tipped for gains: Trade Secrets

Coin Market

Bitcoin price held up by corporate adoption and ‘inflation hedge’ narratives

Published

32 minutes ago

May 27, 2025

Key takeaways:

Institutional investor demand and corporate adoption may push Bitcoin higher despite recession fears.

Investors’ belief that the US Federal Reserve will hold rates favors Bitcoin price upside.

Stock markets around the world responded positively to the temporary suspension of import tariffs between the United States and the European Union, with the S&P 500 rising 1.5% on May 27. However, concerns over a global economic recession persist, capping Bitcoin’s (BTC) upside, especially since the baseline US import rates have been raised for most regions.

Bitcoin remains antifragile and poised to outperform in uncertain times

Given the growing investor uncertainty about economic conditions, Bitcoin hovering around the $110,000 level has taken investors by surprise as it consolidates the top-6 position as a global tradable asset by market capitalization. Investors now ask whether Bitcoin is becoming antifragile or if a drop below $100,000 is inevitable in a recessionary environment.

Traders currently estimate a 41% chance that the US Federal Reserve (Fed) will maintain interest rates through September, a steep rise from just 2% one month ago.

CME FEDWatch target rate probabilities. Source: CME

Normally, a higher cost for capital is bearish for risk-on assets like Bitcoin. However, in this context, it also suggests potential liquidity injections from the Fed, given the unfavorable US fiscal outlook, where government spending exceeds revenue capacity.

US President Donald Trump has called for lower interest rates, but Fed Chair Jerome Powell remains cautious due to a strong labor market and rising inflation pressures, whether driven by tariffs or easy credit conditions. This tension helps explain why the S&P 500 has struggled to retake its February all-time high of 6,147 and why Bitcoin’s upside has also been limited.

Bitcoin’s current market capitalization of $2.2 trillion now exceeds that of Google and Meta, which partially explains the $112,000 resistance level. Still, it would be inaccurate to suggest Bitcoin has decoupled from traditional markets; its 30-day correlation with the S&P 500 has remained above 70% over the past four weeks. As such, if equities enter a bear market, Bitcoin is likely to face downside as well.

30-day correlation: Bitcoin/USD vs. S&P 500 futures. Source: TradingView / Cointelegraph

Companies are currently reporting earnings for the first quarter, a period that predates the escalation of the trade war. As a result, the stock market may take longer to reflect the full negative impact, even as macroeconomic indicators show signs of contraction. The 6.3% drop in US durable goods orders in April, reported on May 27, could be the first signal of a weakening economy.

US durable goods–new orders for April. Source: US Census Bureau

However, even if corporate earnings for the first quarter fall short of expectations, this does not automatically mean the S&P 500 will suffer significantly. In fact, disappointing results could open the door for faster interest rate cuts, which tend to benefit companies by lowering financing costs and potentially stimulating consumer demand.

Bitcoin’s appeal as a strategic asset grows, Trump Media joins the party

Bitcoin’s risk profile appears to have improved after Trump Media and Technology Group announced plans to acquire BTC following a $2.5 billion mix of debt and equity financing. “We view Bitcoin as an apex instrument of financial freedom,” Trump Media CEO Devin Nunes said, according to Reuters. This development suggests that Bitcoin’s trajectory toward $112,000 is not solely tied to broader economic growth.

The growing institutional and corporate interest in Bitcoin adds a new dimension to its market behavior. While macroeconomic trends and correlations with traditional assets still matter, Bitcoin is increasingly being framed as a strategic asset with utility beyond speculation. As such, its performance could diverge, at least partially, from that of equities, especially as adoption broadens among influential companies and investors.

While the stock market may remain sensitive to macro data and earnings surprises, Bitcoin’s upside potential appears to rest on a mix of monetary policy, institutional positioning, and its emerging role as a hedge against systemic financial risk.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Coin Market

Bitcoin profit taking lingers, but rally to $115K will liquidate $7B shorts

Published

2 hours ago

May 27, 2025

Key takeaways:

Bitcoin could turn parabolic if prices move above $115,000 to liquidate more than $7 billion in short positions.

Onchain indicators enter overheated territory, suggesting prolonged profit-taking from BTC investors.

Bitcoin (BTC) showed strength on May 27, briefly tagging $110,700 after a strong US equities market open and the Trump Media and Technology Group’s announcement that it would raise $2.5 billion for a Bitcoin treasury.

Bitcoin’s bullish momentum aligns with the favorable US financial conditions, as noted by Ecoinometrics. The macroeconomic-focused Bitcoin newsletter highlighted that the National Financial Conditions Index (NFCI) shows a rapid shift to ultra-loose territory after a tightening phase in February 2025.

The NFCI, published by the Federal Reserve Bank of Chicago, tracks stress in the financial system by aggregating measures like credit spreads, leverage, and funding conditions. When the index moves into looser territory, it reflects easier access to capital and reduced market stress—conditions that typically encourage risk-taking behavior among investors.

For high-beta assets like Bitcoin, such periods often coincide with price rallies as capital flows into speculative markets.

US National Financial Conditions Index. Source: Ecoinometrics

Ecoinometrics mentioned that within four weeks, liquidity has returned, creating a supportive macroeconomic environment for risk assets like Bitcoin. The newsletter noted,

“That’s the kind of macro backdrop where Bitcoin thrives. Bitcoin’s rally to new highs didn’t come out of nowhere. It’s tracking the same pattern we saw since 2023: easing conditions → capital rotation → risk-on.”

With Bitcoin just 2% away from its all-time high price, data from CoinGlass indicates that the probability of a short-squeeze remains high due to significant sell-side liquidity. As illustrated below, if Bitcoin breaches $115,000, over $7 billion in short positions could get liquidated, triggering a cascading effect that pushes prices higher.

Bitcoin liquidation map. Source: CoinGlass

Onchain data shows Bitcoin in ‘overheated zone’

While the overall momentum remains bullish, Bitcoin’s rally has pushed the market into a zone where historical patterns urge caution. Two key onchain indicators—Supply in Profit Market Bands and the Advanced Net UTXO Supply Ratio—are flashing signals consistent with prior market tops.

The Supply in Profit Market Bands metric tracks how much of the circulating BTC supply is currently in profit. As of late May 2025, this figure has surged to 19.4 million BTC, nearing historical extremes and entering the “Overheated Zone.” Previously, BTC prices tested this zone on Dec. 17, 2025, which was followed by a price correction to $93,000 from $107,000.

Bitcoin Supply in Profit Market Bands. Source: CryptoQuant

Simultaneously, the Advanced Net UTXO Supply Ratio (NUSR), which compares profitable versus unprofitable UTXOs (unspent transaction outputs), is brushing against its historical ceiling around 0.95—a level frequently preceding sell signals. Red markers on the chart indicate prior instances when such conditions led to local price tops or prolonged consolidations.

Bitcoin Advanced Net UTXO Supply Ratio chart. Source: CryptoQuant

The above data does not guarantee an immediate drop, but these metrics suggest a high probability of increased volatility and profit-taking in the short-term.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.