American tax officials said, they have evidence of a $1 billion Ponzi scheme centered on the crypto market

They said, that they were following 50 separate leads into scams.

At news conference Niels Obbink said, NFTs are one of the new modern digital ways of trade-based money laundering

The IRS’s chief of criminal investigations Jim Lee said, “Some of these leads I’m talking about, they involve individuals with significant NFT transactions 

revolving around potential tax or other financial crimes throughout our jurisdictions,”

The money involved appears to have affected investors across the globe

American tax officials said, that they were following 50 separate leads into scams, including crypto buyers in the U.S., the U.K., the Netherlands, Canada and Australia

Lee said, “[One] appears to be a $1 billion Ponzi scheme. That’s billion with a 'B' and this lead also touches every single J5 country,” 

The J5, or the Joint Chiefs of Global Tax Enforcement, is a tax-crime-fighting initiative including authorities in the five countrie

most common complaints about the crypto sector is that it lacks transparency, if an investor loses money they have little recourse

Lee said , the IRS is making the tracking of crypto movements one of its primary prioritie

For now, investors who think they may have been the victim of a crypto scam can fill out a report at the Federal Trade Commission 

They can also contact the Office of Investor Education and Advocacy via email at or by phone at 1 (800) 732-0330