June 4, 2025, Press Release from the United States Attorney’s Office for the Northern District of Ohio:
CLEVELAND, Ohio – The United States Attorney’s Office for the Northern District of Ohio (USAO) has filed a civil complaint in forfeiture against 679,981.22 Tether (USDT) cryptocurrency suspected of being fraudulently obtained as part of an investment scam. USDT are digital tokens that are circulated through the internet and tied to, or “tethered,” to a fiat currency such as the U.S. dollar. The USDT amount in the complaint is valued at $679,981.22, at a 1:1 ratio to the dollar.
According to court documents, on July 22, 2024, a woman using the name “Kristina Tian” contacted a victim located in Solon, Ohio, through the LinkedIn online professional networking platform. The two began messaging and became friendly with one another. Tian then suggested to move their conversation to the WhatsApp messaging platform where they continued to communicate. She then steered the conversation toward her successes in cryptocurrency to gain the victim’s interest. Prior to being contacted by Tian, the victim already had a cryptocurrency account through the Kraken exchange. While corresponding with Tian, he sent her screenshots of his investment holdings to prove that he had a significant amount of funds to invest. In total, he transferred approximately $500,000 of his money to his Kraken account. Tian then instructed him to transfer his Kraken cryptocurrency to an investment platform that the victim did not know was fraudulent. Following his initial investment, the victim requested that a portion of the first deposit be returned. Once that transaction was successful, he felt comfortable to proceed with investing more money. However, around this time, the FBI intervened. FBI agents informed the Solon resident that they were investigating investment fraud schemes, and they believed he was a victim. After learning about the scam, the victim confronted Tian through WhatsApp. She responded with a series of mocking messages such as, “I feel for you. But thank you for you giving me half of your savings,” and “Lol, I enjoyed it and thank you for the money so I can find more. Glad to use your life savings.”
Investigators also identified a second victim of the underlying cryptocurrency fraud scam. The female victim was a resident of Arizona who met a man on a dating app, “Coffee Meets Bagel.” After some time spent messaging through the app and building trust, the man suggested that she invest in cryptocurrencies. The victim made an initial purchase of cryptocurrency through Crypto.com and then transferred the full amount to the fraudulent investment platform that the man recommended. Later, the victim was unable to retrieve her funds. The Arizona woman lost $63,000 to the investment fraud scheme. This included $15,000 that she cashed out from her 401(k) retirement account, and another $48,000 from a home equity loan that her daughter took out and had given to her to invest.
Because many virtual currencies record their transactions on publicly accessible digital ledgers known as a blockchain, investigators were able to conduct analysis for signs of fraudulent activity. They ultimately traced a portion of the funds stolen from the two victims to two cryptocurrency addresses on the Tron blockchain. Further investigation revealed that the stolen currency had been converted to the USDT virtual currency.
By the complaint in forfeiture filed on June 2, 2025, the United States seeks to forfeit the entire 679,981.22 in USDT cryptocurrency. In the complaint, the United States alleges that the funds contained in the two cryptocurrency addresses in excess of the victims’ traceable losses also are proceeds of fraud and, accordingly, are subject to forfeiture. Additionally, the complaint alleges that such other funds were involved in money laundering violations.
The claims asserted in the complaint are allegations only. The United States must prove the claims by a preponderance of evidence.
If successful in this forfeiture action, the United States would seek to return the stolen funds to the victims.
This case was investigated by the FBI Cleveland Division and prosecuted by Assistant U.S. Attorney James L. Morford for the Northern District of Ohio.
The case is part of the FBI’s initiative against cryptocurrency fraud scams perpetrated on victims throughout the United States, including the Northern District of Ohio.
To report fraudulent conduct involving older adults, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at IC3.gov to submit a report.
About the Northern District of Ohio
The U.S. Attorney’s Office for the Northern District of Ohio covers the 40 northern-most counties in the state of Ohio, which is home to nearly six million people. The office operates from its main headquarters in Cleveland, with additional branches in Akron, Toledo, and Youngstown. The U.S. Attorney serves as the chief federal law enforcement officer in the District and oversees the prosecution of federal crimes and protects victims’ rights.
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