Recovering Stolen Crypto Assets   

The use of cryptocurrency is increasing, and crypto crime is rising with it. Fraudsters, malicious hackers, and thieves amassed $1.36 billion in stolen crypto in the first half of 2020 alone. According to blockchain analysis firm Coinfirm, there is as much as $10 billion in stolen crypto on the market. But not all lost crypto is stolen – you can lose a phone or wallet containing cryptocurrency, much like your physical wallet. Whether stolen or lost, it may be possible to trace and recover crypto funds.
How to Recover Stolen Crypto Funds
If you’ve been a victim of crypto crime, act quickly. The longer you wait to begin tracing your crypto, the more time thieves have to obfuscate the crypto assets, such as placing the funds into a mixer/tumbler or transferring them to cold storage. With a strong case in hand, you can begin to freeze your assets. An international freezing order issued by the High Court against the wallet associated with the crypto assets will help prevent the funds from moving any further.
The legal system can help in these situations. Thanks to the transparency of the Blockchain, which acts as a ledger for all transactions, it is easy to see where stolen funds go. If the funds go to a service such as an exchange or vendor, it is possible with the right investigations and legal team to identify who is in control of the wallet. A court order can then be granted to reveal the thief’s identity and recover the stolen funds.
Steps to Recovering Funds
• Initial Track and Trace: Use specialist investigators and platforms for crypto tracing, such as Recuva Hacker Solutions, to begin locating your funds.
• Plan Recovery: Applications to the court, such as freezing orders, asset preservation, and disclosure orders, should be planned in advance.
• Action Orders: Involve affidavits from the victim, investigations team, and specialist crypto lawyers. Orders are then served on exchanges or identified services holding tracked crypto assets or information leading to suspects involved.
Protecting Yourself from Crypto Fraud
The best way to avoid being a victim of crypto crime is to take preventive measures:
• Do Your Due Diligence: Conduct research into individuals and companies offering investment opportunities. Check records like the Financial Conduct Authority (FCA) and use publicly available information like social media.
• Secure Your Cryptocurrency: Use the right security software to reduce the risk of scams or phishing schemes. Divide your assets into 'cold' and 'hot' storage, with the majority in cold storage disconnected from the internet.
• Protect Private Keys: Ensure your private keys are secured and never give them out.