Understanding Pig Butchering Scams

As online relationships become more common, so do sophisticated scams that exploit them. One of the most alarming recent trends is gruffly known as "pig butchering." The phrase describes a type of relationship-investment fraud that cost Americans nearly $6 billion in 2024.

The term “pig butchering” refers to the process of “fattening up” or indulging the victim in attention, trust and false promises before exploiting or “butchering” them financially. 

Pig Butchering scams target individuals through social media platforms, dating apps and messaging platforms. They use emotional manipulation and fake investments opportunities, often involving cryptocurrency, to defraud victims of thousands or even millions of dollars each year.

The IRS Criminal Investigation division warns that U.S. taxpayers are among the most frequently targeted.

Here are some things you should to know about this process and how to help protect yourself from it.

 

What Is Pig Butchering Fraud?  

As mentioned above, pig butchering can happen in a variety of ways. The term covers a variety of activity that's focused on exploiting a person's trust.

Pig butchering scammers might present themselves as romantic partners, friendly strangers or business contacts.  They'll often create fake profiles on social media, dating apps and networking sites to identify and connect with a potential victim to paint an illusion of authenticity.

Once connected with their victim, the scammer will take their time to make the person feel like they're building a real relationship.

 

How does Pig Butchering Work?  

Once the victim is emotionally invested, scammers might try to exploit their trust by bringing up a supposed lucrative investment opportunity. These usually involve cryptocurrency platforms or fake brokerage websites and apps that appear legitimate but are fully controlled by the scammer.

Scammers may walk victims through the process of creating accounts on virtual asset service providers (VASPs). These platforms that allow the purchase, sale or transfer of digital currencies. They might even ask for remote access to the victim’s device to assist with transactions. 

To build confidence, scammers might falsify profits early on. Victims are encouraged to start small when investing money, then gradually larger sums as they see fabricated returns. When the victim attempts withdrawing funds, they may be that told they owe unexpected fees or taxes or that the account is frozen. Eventually, the entire platform disappears along with the scammer and the money they secured from the victim.

 

Pig Butchering Red Flags to Watch For  

Be cautious if you notice any of the following red flags:

• Unsolicited Contact: Scammers will often send unsolicited messages to strangers on dating platforms and social media. But online isn't the only place they attempt to establish contact. Many scammers send text messages hoping to find their next target.
• Fast Emotional Intensity: Scammers often shower their targets with attention in an attempt to build a sense of intimacy and trust.
• Too Good To Be True Investment Res: Promises of high profits with no risk should raise a red flag
• Pressure to Act Quickly: Scammers often say you must invest right away or miss out.
• Suspicious Investment Platforms: Fake websites may look professional but are unlicensed, riddled with design flaws or flagged as unsafe by your antivirus software. Their URLs may closely resemble real investment sites but include slight alterations or errors. 

How to Protect Yourself   

Reduce the risk of falling for a pig slaughter scam by taking the following precautions:

• Be Skeptical of Unsolicited Investment Advice: Especially when it comes from someone you've only met online.  
• Do Your Research: Look up the company or investment platform. Check the Better Business Bureau Scam Tracker or the FBI’s Internet Crime Complaint Center (IC3).    
• Use Only Reputable, Regulated Investment Services: Stick with established, trustworthy institutions.
• Talk to a Financial Advisor: Before making any investment, especially if someone is encouraging you to invest quickly. 
• Guard Your Personal Information: Never share sensitive details like account logins, bank information or cryptocurrency credentials with someone you've never met in real life. 

 

What to Do If You’re Targeted  

If you suspect that you or someone you know is caught in a pig butchering scam:

• Stop Communicating Immediately: Cut off contact with the suspected scammer. 
• Report the Incident: File a complaint with the FBI’s IC3, report it to your bank, and notify your local police department.   
• Secure Your Accounts: Change your passwords, enable multifactor authentication, and monitor financial accounts for suspicious activity.