How a new 'pig butchering' scam targets lonely men

When Barry May met a woman named Anna on Facebook, she sent salacious photos and promised a future together. But first, she needed help investing money on her aunt’s behalf to access a $3 million inheritance. Over months of cultivating closeness, May liquidated his life savings and sent over $500,000 – only to learn Anna wasn’t real. He fell prey to “pig butchering,” a prolific crypto scam preying on vulnerable people that stole over $3.5 billion last year.

Like the ancient warriors who breached the walls of Troy using a giant hollow wooden horse, pig butchering scammers employ intimacy to disguise their deceit. They build online relationships through dating sites and social media, establishing deep trust over weeks or months. Eventually, they convince victims to invest in fake cryptocurrency platforms they control, slowly escalating requests as the mark gains confidence from small withdrawals allowed initially. But when larger sums are transferred, the criminals sever contact and disappear with the money.

Devastation reigns in the aftermath. "My quality of life, the things I wanted to do, it’s shot,” a tearful May told NBC News. “I got about $10,000 left to my name, and that’s it." He lost his retirement nest egg and can no longer afford essential medications for his disabled daughter. Their emotional trauma also runs deep from the betrayal. "As much as I wanted it to be real and was hoping it would be real...they’re very good," May said about the manipulation. He joined over 40,000 Americans defrauded through crypto crime last year, quadrupling reported 2021 levels.

Cryptocurrency's hype and anonymity aid such deceptions, but the human vulnerabilities being exploited drive the crisis. Scott from Boston met a man on a dating site who spent months cultivating a close friendship. Though initially reluctant to invest, the scammer convinced Scott to open his own crypto account following a fake license verification. "I'm not giving you money,” he had insisted. But longing for connection and prosperity eroded skepticism against his better judgment. He lost $300,000.

The trauma haunts victims for years, destroying financial stability and emotional trust. “People probably feel like they are alone...how could they have fallen for this?" asked a Department of Justice cryptocurrency crime official. But she emphasizes that anyone can fall prey given enough patience exerted by scammers. "You're not alone. This is very prolific,” she highlighted. Nonetheless, the crisis predominantly ensnares older straight men starved of intimacy using digital spaces unfamiliar to them.

Education helps, but protection remains elusive, given manipulative tactics hijack rationality. "It's a sophisticated con,” explains the FBI financial crimes chief. Highly intelligent executives fall victim despite understanding cryptocurrency and researching purported opportunities. The schemes often allow small withdrawals to build confidence, overpowering doubt through a false sense of security. Risky speculation also clouds judgment; dreams of immense profits override caution.

Nonetheless, the FBI now prioritizes disrupting scams in progress by tracing money flows back to fraudulent holdings. Warnings give victims a last chance to salvage remnants of savings not yet drained. But most funds remain irrecoverable, devastating life plans. "The things I wanted to do, it’s shot," May despairs. Even spared further loss, initial thefts cannot be reclaimed. Victims must painfully accept new realities with shattered resources.

The majority also never receive warnings. Only an estimated 10% of cases get uncovered. Fear, shame, and disbelief deter reporting. May offered blunt advice: “If some beautiful young woman is interested in an older man and 'Oh, you do this for me, and I’ll do this for you,' you know? Run away." But desperation clouds judgment until it is too late. The scam now operates industry-scale, raking billions in theft. Mastermind fraudsters relentlessly refine psychological manipulation tactics and technology infrastructure.

Cryptocurrency will likely persist as a high-risk, high-return sector attracting fraudulent schemes. Market hype and dreams of wealth continue fueling irrational exuberance. Technological anonymity also benefits criminals more than amateur investors. But human yearning for prosperity and intimacy persists above all else. Until these root conditions change, those most disadvantaged socially and financially will remain exposed to deception for a chance at security.

Pig-butchering scammers built an empire exploiting such despair. Their apparatus inflicts deep wounds through intimate betrayal, leaving victims to salvage the pieces alone. The criminals patiently befriend targets, displaying deep empathy while assessing vulnerabilities. They subtly encourage risky financial decisions without raising the alarm. Individual losses may surpass millions as they confer confidence to make increasingly bold transfers to bogus accounts. When suspicions arise, life savings have already emptied into the fraud machine.

Worse still, warning signs blur in the fog of developing friendship. Most victims realize the deception far too late. The lies and manipulation cloud judgment until the scammers suddenly disappear. Desperation drives people to ignore better instincts that would prevent such financial self-harm under rational circumstances. However, fraudsters expertly exploit psychological biases that privilege emotion over reason. They weaponize human social needs and economic insecurity into multi-billion dollar global enterprises on the backs of shattered lives.

And the hunting continues to accelerate at scale. Cryptocrime syndicates refine playbooks daily to convert targets more efficiently. Recruitment expands across online networks like Facebook, LinkedIn, and dating apps. Losses will hit $7 billion in 2023 estimates project from enhanced infrastructure. The scope already strains the FBI's capacity to catch up digitally. Despite expanding initiatives to freeze assets and warn selected victims by tracing transactions, less than 15% receive interventions. New figures underscore the urgent need for proactive consumer protections and corporate accountability measures in the Wild West of crypto markets if society hopes to curb such criminal exploitation of human vulnerabilities. But victims must also guard their isolation and economic desperation that renders them perfectly pliable targets.