India is working with tech giants Google and Facebook to combat a wave of pig slaughterhouse scams, with cryptocurrencies often used as a way to lure victims and as a tool to launder the stolen money.
According to the 2024 yearbook report of the Indian Union Home Ministry, pig slaughter or investment fraud has targeted “unemployed youth, housewives, students and needy people,” exploiting their financial insecurities and confidence to lure them into fraudulent schemes that promise quick and substantial returns.
Victims are losing large sums of money every day (even borrowed money), the report said, noting that scams are increasingly being promoted through Google’s advertising services and messaging platforms such as WhatsApp and Telegram.
To combat this, India’s Cyber Crime Coordination Center, which operates under the Ministry of Home Affairs, has joined hands with Google and Facebook to proactively flag related activities such as malicious advertisements, detect fraudulent digital lending apps and identify phishing campaigns related to this scam.
Among other efforts to combat crypto-related crimes, crypto exchanges have been integrated into the Citizen Financial Cyber Frauds Reporting and Management System, allowing for faster detection and blocking of suspicious cryptocurrency transactions. The platform acts as a centralized hub where law enforcement agencies, financial institutions, payment wallets and crypto platforms work together to prevent the illicit flow of funds.
In addition, specialized cryptocurrency investigation training sessions are being held across the country to equip police officers with skills to trace crypto transactions, seize digital assets and analyze blockchain evidence, the report said.
With high adoption rates at the grassroots level, India has been a prime target for crypto fraudsters, who often operate from outside the country, especially in regions such as Southeast Asia.
As such, authorities have been actively working to increase oversight of the currently unregulated sector. In 2023, India’s Financial Intelligence Unit mandated that crypto exchanges must register as reporting entities to operate in the country.
Meanwhile, the Enforcement Directorate, India’s economic intelligence agency under the Ministry of Finance, has cracked down on several high-profile fraud incidents, some of which have cost victims millions of dollars.
In June 2024, the ED froze more than $3 million in assets linked to the Highrich group’s crypto Ponzi, which promised returns of up to 15% on investments in a fake cryptocurrency. Just months later, the agency dismantled another fake cryptocurrency, leading to losses of more than $800,000.
