Regulating Bitcoin ATMs for Combating Pig Butchering Scams

This week we’ve got a special episode for you. Over the nearly two years since we started the podcast one of our most frequent topics has been the crypto romance / investment scam known as Pig Butchering. 

In a Public Key first Ian Andrews (CMO, Chainalysis)  highlight impactful statements from past guests, including: Erin West, Alona Katz, Alastair McCready, Nicola Staub and Detective Matthew Hogan, who discuss the scam’s exponential growth has been, with Southeast Asia emerging as a hotbed for these criminal operations.

The guests emphasize that these crimes are not isolated incidents but part of an organized crime network with ties to human trafficking and forced labor, generating billions in stolen funds annually.

The group covers the basics of pig butchering, tactics used by international criminals, challenges in combating the crime and how collaboration and educational awareness are key solutions to preventing this complex crime.

Alastair highlights the neglect by authorities in countries housing these pig butchering scam compounds, while the remaining guests explain how public private partnerships have been the key to info-sharing and collaboration of resources. 

• (2:15) - What Is Pig Butchering and how is it executed
• (8:20) - Detective engages with a pig butchering scammer to gather evidence
• (12:50) - Discussion on scammers using legitimate crypto exchanges and web wallets
• (16:50) - Human Trafficking victims forced to become scammers and heroic story of a victim's escape
• (21:21) - Southeast Asia a hotbed for pig butchering scammers 
• (27:50) - Limited resources of law enforcement and the collaboration of public and private sector
• (31:25) - REACT Task force formed to combat high tech crime including SIM Swapping and Pig Butchering 
• (36:38) - How are Bitcoin ATMs used to facilitate payment to scammers
• (39:25) - Erin West describes why the problem is getting worse and what we need to do to stop it
  
  

Check out more resources provided by Chainalysis that perfectly complement this episode of the Public Key.

• Report: The Chainalysis 2024 Crypto Crime Report (Download Today)
• Event: Chainalysis Links Conference NYC 2024 (Apr. 9-10, 2024) - Early Bird Pricing On Now!
• Blog: The On-chain Footprint of Southeast Asia’s ‘Pig Butchering’ Compounds: Human Trafficking, Ransoms, and Hundreds of Millions Scammed
• Blog: Crypto and the Opioid Crisis: What Blockchain Analysis Reveals About Global Fentanyl Sales [UPDATED 3/7/24]
• Podcast: Ep. 19: Pig Butchering Crypto Scam: Crypto’s Emerging Human Trafficking And Romance Scam Industry
• Podcast: Ep. 45: How Law Enforcement is Combating Pig Butchering Crypto Scams
• Podcast: Ep. 72: Investigating the World of Pig Butchering And Crypto Scams
• Podcast: Ep.93: Stopping Pig Butchering and Crypto Scam Epidemic
• YouTube: Chainalysis YouTube page
• Twitter: Chainalysis Twitter: Building trust in blockchain
• Tik Tok: Building trust in #blockchains among people, businesses, and governments.
• Telegram: Chainalysis on Telegram 

• Ian Andrews * Host * (Chief Marketing Officer, Chainalysis) 
• Alastair McCready (Producer, Al Jazeera Media Network)
• Erin West (Deputy District Attorney, Santa Clara County)
• Alona Katz (Chief, Brooklyn District Attorney's Office)
• Detective Matthew Hogan (Detective, Connecticut State Police)
• Nicola Staub (CEO, Co-Founder, CYBERA)

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