Although the use of cryptocurrencies in the United States has increased over the past year, concerns about fraud and trust remain dominant. A new study from Sumsub, a global authentication and anti-fraud company, shows that one in three Americans has experienced or knows someone who has been a victim of cryptocurrency-related fraud.
According to research by Sumsub, 36% of U.S. adults have used or interacted with cryptocurrencies in the past 12 months. Younger users are leading the charge, but they are also more likely to be at risk of fraud. Almost half of Gen Z (46%) and Millennials (49%) reported having experienced fraud directly or indirectly.
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The most common schemes include social engineering, Ponzi schemes, and fake giveaways, each cited by approximately 30% of respondents. Phishing, spoofing, fake airdrops, wallet leaks, and rug pulling were also frequently reported. Synthetic identity fraud, which often involves AI-generated deepfakes and forged documents, affected 35% of respondents, with nearly one in five targeting individuals.
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According to internal data from Sumsub, synthetic identity fraud in the United States increased by more than 300% in the first quarter of 2025 compared to the same period in 2024. Deepfake-related fraud increased by 700% over the same period.
Financial impact and accountability
Among those who fell victim to online and cryptocurrency fraud, the average loss from the most serious incidents was approximately $3,300. When asked who should be responsible for recovering funds, 33% said the platform should cover the costs, while 20% thought individuals should bear the losses themselves.
Decreasing demand for trust and monitoring
Despite the increase in participation, trust in crypto platforms remains low compared to traditional financial institutions. Just 26% of respondents said they had a lot of trust in crypto services, and 54% said they had less trust in crypto services, including 41% who said they had much less trust.
Most respondents support stronger regulatory measures. Three out of five people support government regulation of crypto platforms, including bills such as the GENIUS Act and the Stablecoin Payments Transparency Act.
Both bills aim to create a clear framework for stablecoin issuance and strengthen consumer protection against fraud. Support for these measures is highest among people who have experienced fraud.
AI-related concerns
Artificial intelligence-based fraud is also attracting public attention. About 69% of respondents agreed that companies developing generative AI should be held accountable if their technology is misused to commit fraud.
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