Overview

• The U.S. Attorney’s Office for the Northern District of New York filed the complaint on Friday, targeting balances traced to wallets used by a spoofed trading platform.
• FBI investigators identified 10 Mandarin-speaking female victims with combined losses exceeding $10.3 million.
• Victims were contacted by unsolicited texts and directed to ShakepayEX, a site made to resemble a legitimate Canadian exchange that blocked withdrawals with fabricated fees and requirements.
• Law enforcement used blockchain analysis to link the USDT to the fraud, the FBI continues to investigate, and Assistant U.S. Attorney Joshua R. Rosenthal is representing the United States, with no arrests noted in the filing.
• The case aligns with larger civil forfeiture actions, including a $225 million USDT effort in June, reflecting coordination with industry to freeze funds before they are laundered.