Crypto Recovery Scams: How to spot fake recovery agents

A crypto recovery scam is a second fraud aimed at people who have already lost cryptocurrency. Someone posing as a recovery firm, lawyer, hacker or official promises to get the money back, then demands upfront fees or more crypto and returns nothing.

Many are not. Treat any service that contacts you unprompted, guarantees recovery or wants an upfront fee to release funds as a scam. Genuine investigators sell tracing and evidence and never guarantee results.

Sometimes, but it is never guaranteed. Stolen crypto can often be traced, but funds are usually only returned when an exchange freezes them after a law enforcement request or court order.

No genuine regulator or police force will ask you to pay a fee, tax or crypto deposit to get your money back. The FCA says it never asks you to transfer money to it, and the FBI says law enforcement does not charge victims to investigate.

No. A release fee, tax or deposit demanded before funds are returned is the clearest sign of a recovery scam, and paying usually leads to more demands.

Stop paying and cut contact, call your bank on the number on your card, and keep all evidence. Report it to Report Fraud on 0300 123 2040 or Police Scotland on 101, and to the FCA on 0800 111 6768 if the firm claimed to be regulated.

In England, Wales and Northern Ireland, report it to Report Fraud (formerly Action Fraud) at reportfraud.police.uk or on 0300 123 2040. In Scotland, call Police Scotland on 101. In the US, report it to the FBI at ic3.gov.

IOC is a London-based blockchain investigations firm that traces where cryptocurrency went and explains what the evidence means. It does not promise recovery, charge release fees or ask for seed phrases, and offers a free case assessment through IOC Support.

1. They contacted you first. A call, DM, email or comment offering to get your crypto back, often days after you were scammed. Your details have usually been sold on from the original fraud.
2. They guarantee recovery. No one can promise to return stolen crypto. Tracing can show where funds went; only exchanges, courts and law enforcement can freeze or return them.
3. They want an upfront fee to "release" funds. "Taxes", "gas fees", "unlocking" or "withdrawal" charges are the scam repeating itself.
4. They ask for your seed phrase or remote access, or claim to be solicitors or FCA-approved. No genuine firm needs your seed phrase or AnyDesk/TeamViewer access. Fake law firms copy real solicitors' names, so check the SRA register and SRA scam alerts.

Firms that help you claim money back from a bank or firm are often carrying out regulated claims management activity and may need FCA authorisation. Check the FCA Register and the FCA Warning List before you speak to anyone. "FCA-approved" logos on a website prove nothing.

- Contact your bank first. Many UK payment scam losses can be reimbursed, and it costs nothing. Ask about the reimbursement rules for authorised push payment (APP) fraud.
- If the bank says no, complain to the Financial Ombudsman Service. It is free and you do not need a claims company.
- Report it to Report Fraud (formerly Action Fraud) and keep your transaction hashes, wallet addresses and messages.
- Never pay to get money back and never share your seed phrase with anyone.