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Cybercrime losses jumped 26% to $20.9 billion in 2025

Cybercrime remains a booming business. 

Annual cybercrime losses amounted to almost $20.9 billion last year, reflecting a 26% increase from 2024, the FBI’s Internet Crime Complaint Center (IC3) said in its annual report Tuesday.

The comprehensive study exposes a worsening digital crime environment that is driving financial losses, with momentum moving in the wrong direction and compounding at an alarming rate. Annual cybercrime losses have jumped almost 400% from $4.2 billion in 2020, and cumulative losses in that five-year period surpassed $71.3 billion.

The FBI’s IC3, which formed as the country’s central hub for cybercrime reporting in 2000, is busier than ever. “We now average almost 3,000 complaints per day,” Jose Perez, the FBI’s operations director for its criminal and cyber branch, wrote in the report. 

The annual internet crime report highlights growing and sustaining trends. Yet, the scope of the study is limited and relies entirely on cybercrime incidents submitted to the FBI. 

The full impact of cybercrime remains murky, as an unknown number of victims suffer in the shadows and never report the crimes they endure.

The FBI received more than 1 million complaints last year, with victims aged over 60 reporting the largest amount of crimes that also resulted in the greatest amount of total losses by age group. Victims at least 60 years old filed 201,000 complaints with losses totaling nearly $7.75 billion, or about 37% of all cybercrime-related losses last year.

Investment-related fraud remained the largest component of cybercrime losses in 2025, reaching almost $8.65 billion. Business email compromise took the No. 2 spot with almost $3.05 billion in losses, followed by tech support scams at more than $2.1 billion. 

Cryptocurrency was the primary conduit for fraud linked to investment and tech support scams last year, while wire transfers composed the bulk of fraud resulting from business email compromise, according to the report.

Phishing was the most commonly reported type of cybercrime last year, followed by extortion, investment scams and personal data breaches. The FBI tallied losses amounting to $122.5 million from extortion and $32.3 million from ransomware last year.

The FBI also received more than 75,000 reports of sextortion last year, including more than 5,700 submissions that were referred to the National Center for Missing and Exploited Children.

The top five cyber threats reported to IC3 in 2025 included data breaches at 39%, ransomware at 36%, SIM swapping at 10%, malware at 9% and botnets at 7%. 

The FBI received more than 3,600 complaints reporting ransomware last year. The five most reported variants included Akira, Qilin, INC, BianLian and Play.

Each of the 16 critical infrastructure sectors reported ransomware attacks last year, and the most heavily targeted included health care, manufacturing, financial services, government and IT.

The IC3 primarily receives complaints from U.S. residents and businesses, but it also received complaints from more than 200 countries last year, which accounted for nearly $1.6 billion in total losses. 

While losses and the sheer amount of cybercrime continued to climb last year, “the FBI continues to disrupt and deter malicious cyber actors — and shift the cost from victims to our adversaries,” Perez wrote in the report.

“It has never been more important to be diligent with your cybersecurity, social media footprint, and electronic interactions,” he added. “Cyber threats and cyber-enabled crime will continue to evolve as the world embraces emerging technologies such as artificial intelligence.”

The post Cybercrime losses jumped 26% to $20.9 billion in 2025 appeared first on CyberScoop.

Washington is right: Cybercrime is organized crime. Now we need to shut down the business model

The recently released executive order targeting cybercrime, fraud, and predatory schemes uses language the federal government has often avoided. Now, for the first time, the Trump administration is echoing what the cybersecurity industry has been shouting for years: cyber-enabled fraud is a product of transnational organized crime.

That distinction matters because organized crime requires an organized response.

Cybercrime is now the world’s fastest-growing criminal economy, built on stealing from everyday people. It is no longer a loose collection of hoodie-wearing hackers in basements or misfits trading malware in online forums. It is a mature global industry operating at scale. In the entirety of human history, there has not been a transfer of wealth of this magnitude since the era of pillaging empires. We have just gotten so used to it that it feels like background noise.

Modern cybercrime groups look less like street gangs and more like corporations. They run structured operations, complete with HR departments, training pipelines, performance metrics, and technology stacks that rival most enterprise companies. Their attackers don’t rely on sophisticated exploits — they think like expert investigators, systematically probing for weaknesses, exploiting psychological pressure, manipulating insiders, and using deception to move through gaps that defenders left open. They operate around the clock, in every time zone, and increasingly use AI to automate attacks at a scale that once required highly skilled operators.

Worse yet is that many of these operations rely on forced labor. Scam compounds in Southeast Asia run like factory floors, with rows of trafficked workers carrying out romance scams, cryptocurrency fraud, and impersonation schemes under threat of violence.

Their goal is to make fraud faster and more profitable. The result is a global criminal ecosystem that extends far beyond online scams. It fuels human trafficking, weapons smuggling, political corruption, compromised organ systems, and even nuclear programs.

If the federal government is ready to recognize what the industry has known — that cybercrime truly operates like an organized global industry — then responding to it solely through traditional law enforcement is not enough. The question goes beyond how governments apply sanctions, coordinate investigations, or pressure jurisdictions that harbor these operations. The greater question is whether the private sector is willing to help dismantle the infrastructure that allows this industry to thrive.

One word changes everything

I want to be specific about why this executive order is different, because the language is not accidental.

The order doesn’t just call these groups “hackers” or “organized crime.” It calls them transnational criminal organizations (TCOs). That word carries legal and operational weight that most coverage has glossed over. Transnational is the jurisdictional framing that authorizes an entirely different class of response. It is the same threshold that moves a case from local law enforcement to federal jurisdiction and beyond.

Pair that with what follows – “law enforcement, diplomacy, and potential offensive actions” – and you are reading something that goes well beyond a policy memo. Notice the sequence: diplomacy before offensive action is proportionality doctrine. But the administration did not rule out offensive action. The document also calls for deploying the “full suite of U.S. government defensive and offensive cyber operations” and uses the word “shape” as its first pillar of action. In military doctrine, shaping an adversary’s behavior does not mean gentle persuasion. It means force is part of the calculus.

This is not the language of a consumer protection policy. Whoever wrote this has studied the opposition.

An organized threat demands an organized response

The executive order draws a line in the sand: cybercrime has outgrown its origins as a consumer protection issue. It’s now a fundamental threat to economic stability and national security. But tackling an industry operating at this scale requires more than government action alone. The order’s answer is to mobilize the private sector – giving companies the green light to identify and disrupt adversary networks.

That framing matters.

The private sector sees the machinery of cybercrime every day. Security vendors, major platforms, and infrastructure providers spot the command-and-control servers, malicious domains, and payment pipelines that keep these operations moving. Too often, that intelligence is used only to defend commercial interests, when in reality, it should also be used to disrupt the networks behind the attacks. When criminal groups lose core infrastructure, they have to rebuild. That costs time. That costs money. That creates pressure.

At the same time, the order puts a question squarely before the private sector: How far is it willing to go, and under what terms? I spent my career believing “minimal force” matters. Precise, proportionate action prevents escalation and avoids creating cascading problems. As we move beyond a defense-only approach, those principles matter more than ever.

There is another question that sits underneath all of this: How far does “potential offensive actions” actually go? Does it stop at cyberspace? Financial sanctions? Asked bluntly, “Will leaders and shareholders know whether providing threat intelligence ends with a measured network take-down or an all-out drone strike on the fraudulent call center?”

Organizations need to fix the security weaknesses criminals are exploiting for profit. Most attacks in 2026 do not succeed because criminals are brilliant. They succeed because the basics are missing. No multifactor authentication. Weak Identity controls. Unpatched vulnerabilities sit open for months. Criminals don’t care about your industry or company size. They go where it’s easiest.

When organizations ignore basic security controls, they are doing more than accepting risk. They’re subsidizing the criminal infrastructure that exploits those gaps.

Governments must keep pressure on nations that harbor these operations. Large-scale cybercrime thrives where enforcement is weak or non-existent. The order specifically calls out “nations that tolerate predatory activity”—a signal that safe havens won’t be ignored. Stronger coordination across governments, law enforcement, and private industry can make it much harder for criminals to operate at scale.

The order also targets “foreign TCOs and associated networks,” with “associated networks” being a deliberately broad phrase. Defining who qualifies will be critical. Draw the lines too narrowly and the policy won’t work. Too broadly and you risk dangerous escalation.

Simply put, cybercriminal groups are disciplined because discipline pays. Disrupting them will require the same. It will demand pressure on countries that act as safe havens. It will take dismantling the infrastructure behind these schemes. It will require better basic security across every organization that criminals target.

The executive order is right – Cybercrime is organized. It is industrial. It is ruthless. For the first time in a long time, the response looks like it might be, too. Whether the government, private sector, and public can align around what this actually demands, and what it risks, are still unanswered questions.

After years of watching policy documents gather dust while victim numbers grow, I will take action over perfection every time.

Kyle Hanslovan is a former NSA cyberwarfare operator and CEO of Huntress Labs.

The post Washington is right: Cybercrime is organized crime. Now we need to shut down the business model appeared first on CyberScoop.

Moving away from insecure mail

ON SECURITY By Susan Bradley Tax season provides an opportunity for businesses to do better. Before I get started, note that I’m writing this as an accounting professional in the United States. By their very nature, my observations will be US-centric. But the truth is that the underlying concept is the security of sensitive information, […]

The Deception Game: How Cyber Scams Manipulate Trust to Access Sensitive Information

In recent years, the landscape of cyber scams has evolved, targeting even the tools designed to protect consumers. One such concerning development involves the exploitation of trusted services to mislead and scam users. This article explores a specific case in which scammers may have taken advantage of these services to deceive users into divulging sensitive information, leading to potential financial losses and identity theft.

The Mechanics of the Cyber Scams

At the core of this issue lies a highly sophisticated cyber scam that exploits the trust consumers place in services that were designed to alert users regarding suspicious activities or data breaches. In this case, however, scammers have managed to breach the very systems intended to safeguard user identities. Here’s how the scam operates:

  1. Compromised Alerts: Users receive seemingly legitimate alert emails from a trusted organization, notifying them of potential security issues. These emails include clickable links that direct users to what appear to be secure websites.
  2. Redirects to Malicious Sites: Upon clicking the link, users are redirected to malicious domains designed to look like legitimate websites or are taken directly to scam sites hosted on platforms like Telegram. These sites may request further sensitive information under the guise of security checks or offer downloads that contain malware.
  3. Exploitation of User Trust: The effectiveness of this scam lies in its exploitation of user trust. Since the alerts originate from a trusted source, users are more likely to click on the links without their usual level of scrutiny. This bypasses standard phishing detection mechanisms, which often filter out emails from suspicious or unknown sources.

Indicators of Deceptive Practices

Several red flags were identified during the investigation into these compromised alerts:

  • Clickable Links in Alerts: Unlike more secure practices adopted by other identity protection services, some alerts include clickable links. This practice is risky because it can easily be exploited to redirect users to malicious sites.
  • Use of Scam Domains: The domains used in these alerts were found to be registered for the explicit purpose of hosting scam operations. For example, one domain redirected users to a Telegram channel that further directed them to malicious downloads or additional scams.
  • High Click-Through Rates: Analysis of traffic to these scam domains revealed a substantial number of users clicking through from these alerts. This suggests a significant exploitation of these alerts, driving traffic to malicious sites and potentially resulting in a high number of compromised users.

Potential Implications and Risks of Cyber Scams

The consequences of this scam could be far-reaching:

  • Financial Loss: Users deceived by these scams might inadvertently provide sensitive information such as banking details, leading to financial fraud or unauthorized transactions.
  • Identity Theft: The exposure of personal information can lead to identity theft, where attackers use the information to open new accounts, make purchases, or engage in other forms of fraud.
  • Malware Infections: Users who download files from these scam sites could infect their devices with malware, further compromising their security and potentially leading to data loss or additional breaches.

Conclusion: How Constella Intelligence Leads the Way in Combatting These Threats

At Constella Intelligence, we’ve recognized the growing sophistication of scams targeting identity protection services and have implemented advanced mechanisms to safeguard our users.

Our systems incorporate a robust verification and curation process, designed to detect and mitigate these types of fraudulent attacks before they reach our customers. In line with the rigorous standards we detail in our blog Verifying the National Public Data Breach, we employ advanced data validation and monitoring techniques to ensure every alert is legitimate and free from manipulation. By continuously monitoring for suspicious patterns and ensuring that all alerts are authentic, we provide the most secure identity protection available on the market. As the leading identity protection provider, we’re committed to staying ahead of emerging threats and maintaining the trust our users place in us to protect their personal information.

Recommendations for Users

To safeguard against potential scams and enhance online security, consider the following steps:

  1. Avoid Clicking on Links in Emails: Even if the email appears to be from a trusted source, manually navigate to the company’s official website instead of clicking on links in the email. This reduces the risk of being redirected to a malicious site.
  2. Use a Password Manager: A password manager can help generate and store complex, unique passwords for each of your accounts, reducing the risk if one service is compromised.
  3. Monitor Your Accounts Regularly: Frequently check your bank statements and credit reports for any unauthorized activity. Early detection of suspicious activity can prevent more significant financial losses.
  4. Enable Multi-Factor Authentication (MFA): Whenever possible, use MFA on your online accounts. This adds an additional layer of security by requiring multiple forms of verification.

By following these recommendations, users can better protect themselves from the increasingly sophisticated tactics employed by scammers to exploit even the most trusted services.

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