Crypto crime has reached new heights in 2025 as hackers, scammers, and advanced AI tools converge to create a dangerous environment for digital assets. This year, more than $2.17 billion has already been stolen from crypto platforms, surpassing the totals of previous years and signaling a surge in both the sophistication and scale of attacks.

These crimes take many forms. Hackers target exchanges and individual wallets, exploiting vulnerabilities in security systems and smart contracts. Scammers use AI-powered tactics to craft convincing phishing attacks, fake investment schemes, and romance scams that trick victims into handing over their digital wealth. Ransomware attacks continue to evolve, with criminals demanding cryptocurrency payments in exchange for unlocking encrypted data. Money laundering methods have also become more complex, as bad actors employ mixing services, privacy coins, and global networks to obscure the trail of stolen funds.

High-profile cases illustrate the magnitude of the problem. The largest crypto theft ever occurred this year, with hackers stealing $1.5 billion from a major exchange in a single attack. Other incidents range from inside jobs at big platforms to decentralized exchanges being drained through malicious smart contracts. Even physical violence and coercion—so-called “wrench attacks”—are on the rise, timed with spikes in crypto prices.

Despite the alarming losses, illicit activity still represents a small fraction of overall blockchain transactions. Last year, only about 0.14% of all crypto movement was tied to crime. However, the sheer dollar amounts make these attacks impossible to ignore, eroding trust in digital finance and prompting a fierce response from authorities. Law enforcement agencies worldwide have stepped up, pulling off record asset seizures worth billions and shutting down criminal networks running large-scale scams.

What’s especially concerning is the role of artificial intelligence in supercharging crypto crime. AI enables criminals to automate attacks, generate realistic phishing messages, and analyze blockchain data for new vulnerabilities. As these technologies become more powerful and accessible, the threat landscape grows increasingly complex.

Geographically, the victims of crypto crime are spread across the globe, with notable concentrations in the U.S., parts of Europe, and East Asia. Patterns of attack and the types of assets targeted vary by region, reflecting differences in crypto adoption and usage. At the same time, laundering techniques adapt constantly as certain pathways to cash out illicit gains are closed by regulators or international action.

Ultimately, the rapid innovation that fuels the growth of the digital asset ecosystem also creates opportunities for criminals. For anyone involved in crypto, robust security measures are not optional—they are essential. Staying ahead means understanding emerging threats, using best practices for safeguarding digital assets, and being vigilant against the ever-changing tactics of bad actors in the age of AI-driven crime.