What should have been a celebration turned into a devastating lesson in the dark side of cryptocurrency investing. A St. Francis couple’s wedding anniversary took a heartbreaking turn when what appeared to be tens of thousands in crypto profits turned out to be part of a sophisticated online scam.
Scott Johansson recalls the moment his wife, beaming with excitement, shared what she believed was life-changing financial news.
“She had a big smile on her face saying, ‘Look what I did,’” Johansson told reporters. But instead of celebrating, he was gripped by dread. “All I thought was, ‘This is not real.’”
The Scam Began Like Many Others: A Facebook “Opportunity”
The scam was orchestrated through a cryptocurrency investment offer on Facebook — a growing breeding ground for financial fraud. What seemed to be a legitimate platform promised impressive returns and showcased convincing success stories.
The woman’s initial investment was $30,000. In just a few weeks, the fake platform reported her balance had nearly doubled, claiming close to $100,000 in value — results that far outpaced the stock market, luring her further in. Encouraged by the apparent success, she invested another $55,000.
It wasn’t until she attempted to withdraw her funds that the trap tightened. She was told she needed to pay an additional $30,000 in “taxes and fines” before accessing her profits — a classic scam tactic designed to extract every last dollar.
Hoping to reclaim her initial investment and earnings, she sent the payment. By the time the grim reality set in, $80,000 had vanished, and the platform was nowhere to be found.
How These Scams Operate: A Closer Look
April DeValkenaere, a certified cryptocurrency investigator and owner of Fortress Forensic Investigations, explains that this strategy is alarmingly common in today’s online world.
“They start with a small investment, double it within a few weeks to gain your trust, then encourage you to invest more,” she said.
Victims are granted access to what appear to be professional-looking dashboards, showing growing “profits” — entirely fictitious. Behind the scenes, the funds are immediately siphoned off and often sent through a complex series of international wallets, designed to make them impossible to trace.
As DeValkenaere warns, “The longer your money stays in, the more they bleed from you. And by the time people report it, the money’s long gone.”
This case, sadly, is part of a growing trend. According to the Federal Trade Commission (FTC), Americans lost over $1.4 billion to cryptocurrency scams in 2023 alone — a number projected to rise in 2025 as digital assets and decentralized finance (DeFi) grow in popularity but remain largely unregulated.
Why Recovering Crypto Losses is So Difficult
Cryptocurrency’s decentralized nature is both its strength and weakness. Without a central bank or authority, tracking fraudulent transfers is exceedingly difficult.
Once funds are sent to scammers — often via privacy-focused wallets or mixers like Tornado Cash — they can be quickly rerouted through multiple international accounts.
Johansson and his wife reported the scam to local law enforcement. “The officer said there’s a 99% chance your money is gone,” Johansson revealed.
Investigators later traced the scam’s origins to Nigeria, a country frequently mentioned in reports by cybersecurity firms like Chainalysis and CipherTrace as a hotspot for online financial fraud.
Despite law enforcement cooperation between countries, the decentralized and borderless nature of cryptocurrency makes recovery nearly impossible in most cases.
Red Flags and How to Stay Safe
One glaring red flag in this case was the demand for tax payments before withdrawal. In legitimate cryptocurrency investing, taxes are settled independently, typically reported during tax season based on realized gains — never upfront through a platform.
Experts emphasize the importance of vigilance:
- Avoid investment offers on social media — Most credible crypto investment opportunities won’t cold-contact you through Facebook, Instagram, or Twitter.
- Verify licensing and credentials — Use platforms like Finra.org to check if a broker or firm is registered and in good standing.
- Question promises of “guaranteed” profits — No investment is risk-free, and returns that sound too good to be true almost always are.
As Scott Johansson bluntly puts it:
“If it sounds too good to be true, it’s fake.”
Crypto Scams on the Rise: A Global Concern
This case is not an isolated incident. Crypto-related scams are one of the fastest-growing forms of online fraud worldwide.
- The FTC recently reported a 1,000% increase in crypto scam reports since 2020.
- Chainalysis’ 2024 Crypto Crime Report found that investment scams made up 37% of all crypto-related illicit transactions last year.
- Scammers increasingly target middle-income investors, using social engineering tactics and fake celebrity endorsements to lend false credibility.
Popular social platforms like Facebook and Instagram remain fertile ground for fraudsters, as they often evade moderation algorithms with convincing ads and fake testimonials.
Final Thoughts: A Costly Lesson, and a Warning for Others
The St. Francis couple’s ordeal highlights the emotional and financial devastation that crypto scams can inflict. Beyond the lost savings, victims often face trust issues, anxiety, and lasting financial setbacks.
This incident serves as a sobering reminder: In the fast-moving world of cryptocurrency, caution is crucial. Before investing large sums, particularly through unregulated platforms or social media leads, perform thorough research and seek guidance from licensed financial professionals.
As digital assets continue to reshape finance, investor education and cybersecurity awareness have never been more essential.
