The crypto-recovery follow-up scam

Scammers contact people who've already lost money to crypto schemes, claiming they can recover those lost funds—but only if you pay a fee or send more cryptocurrency first.

Documented by the FTC & FBI IC3 · reviewed 2026-07-11T18:14:57.874Z

How it works

Someone reaches out claiming to be a recovery specialist, investigator, or legal representative who's tracked down your lost cryptocurrency. They create urgency by saying a recovery window is closing soon, and they promise confidentiality while asking you to keep the recovery effort secret from your bank or family. They typically ask for an upfront fee or 'processing deposit' to proceed.

What it can look like

You receive an email or call from someone saying they've identified your stolen crypto and can retrieve it—but first you need to pay a 'recovery fee' or send a small amount of cryptocurrency as 'verification of ownership.' Once you send money, contact stops, or they ask for more.

How it unfolds

Scams like this follow a pattern. Knowing the arc helps you notice where you are — and step away before the ask.

You receive a message from someone claiming they can recover cryptocurrency or money you lost in a previous scam. They seem knowledgeable and sympathetic about your situation.

They build trust by explaining their 'recovery process' in detail and asking you to share documents or transaction records to 'verify' your case. They may show fake screenshots or letters that look official.

Once you've engaged, they ask for an upfront fee—called a 'recovery deposit,' 'processing fee,' or 'security cost'—to unlock your funds or begin the retrieval. They create urgency by saying the window to recover is closing.

After you pay, they either disappear, ask for more money, or keep you in contact with excuses while your original loss remains unrecovered. This is the moment to stop and recognize the second scam has begun.

Red flags

Someone contacts you unsolicited about recovering crypto you lost—legitimate recovery is rare, and real agencies don't cold-call.
Pressure to keep the recovery secret or move quickly before an opportunity closes.
Requests for upfront fees, deposits, or additional cryptocurrency payments.
Promises of recovering most or all of your lost funds with certainty.
Refusal to provide verifiable credentials or contact details you can independently confirm.

What to do

Do not send any money or cryptocurrency, and do not share account details or passwords.
Independently verify the person's identity by looking up the legitimate agency or firm they claim to represent—don't use contact info they provide.
Report the contact to the FTC at reportfraud.ftc.gov so authorities can track the scam and help protect others.

If it already happened

Acting quickly can limit the damage. You are not alone, and it is not your fault.

Stop all contact with the person or service claiming to recover your money. Do not send any additional payments or information, no matter what they promise.
Contact your bank or credit card issuer immediately to report the fraudulent transaction and ask whether the payment can be reversed or disputed.
Change the passwords on any email, banking, or cryptocurrency accounts you may have discussed or shared access to during contact with the scammer.
Report the scam to the Federal Trade Commission at reportfraud.ftc.gov. Include all messages, payment records, and details about how the scammer first contacted you.

Sources

Guidance on this page draws on public, authoritative consumer-protection resources (verified live 2026-07-10). Documented by the FTC & FBI IC3 · reviewed 2026-07-11T18:14:57.874Z.

Spotted this or lost money? Report it at reportfraud.ftc.gov. This is general educational information, not legal or financial advice — and ScamVet never asks for your identity or account details.

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