Cryptocurrency Scam & Recovery FAQs

Cryptocurrency fraud is on the rise, and victims are often left unsure where to turn for help. This FAQ addresses the most common questions our clients ask after being scammed or losing access to digital assets. Learn how to recognize fraudulent platforms, protect your accounts, and take the proper legal steps to recover stolen cryptocurrency.

Q: What Are the Most Common Crypto Platforms?

Answer: The most widely used crypto platforms in 2025 include Binance, Coinbase, and Kraken—each known for their large user bases and strong security protocols. However, not every platform is legitimate. Many fraudulent sites impersonate trusted exchanges or lure users with fake investment opportunities. Before linking your bank account or transferring funds, confirm that the platform is licensed, properly secured, and regulated. If you suspect a crypto platform scam, contact our firm immediately to discuss your recovery options.

Q: How Much Money Is Safe to Invest in Cryptocurrency?

Answer: Invest cautiously—most financial professionals recommend limiting crypto exposure to 1–5% of your total portfolio. Even seasoned investors rarely exceed 10%. Because crypto scams are common, you should never invest funds you cannot afford to lose. If you sent large sums to a fraudulent exchange or investment group, legal action may still recover part of your loss. Our attorneys can assess your transactions and determine the best strategy to pursue restitution.

Q: Which Cryptocurrency Wallets and Exchanges Are Safe?

Answer: The most reputable exchanges in 2025—such as Kraken, Gemini, Coinbase, and Binance—offer multi-factor authentication, cold storage, and insurance coverage for digital assets. Unfortunately, scammers frequently clone these platforms or create fake wallet apps to steal funds. Always verify the official URL, enable security features, and avoid sharing credentials. Victims who lost access to funds due to a fake wallet or exchange should preserve all evidence and contact a crypto recovery attorney immediately.

Q: How to Submit Your Crypto Transaction History for Legal Review

Answer: To build a recovery case, your attorney needs accurate records. Collect:

Transaction amounts, dates, and IDs
Sending and receiving wallet addresses
Screenshots of wallet or exchange statements
Email correspondence or chat logs with the platform

Never share your private keys or seed phrases. Transaction data alone allows a lawyer and forensic investigator to trace stolen assets across the blockchain and pursue recovery.

Q: Locked Out of Your Crypto Account? Legal Steps to Recover Access

Answer: If you’ve been locked out of your account or believe a scammer gained control:

Preserve Evidence – Save emails, screenshots, and messages from the exchange or wallet.
Notify the Platform – File an official support ticket immediately.
Report the Incident – Contact law enforcement or regulatory agencies to document the theft.
Consult a Crypto Recovery Lawyer – Our team helps trace stolen funds, freeze suspect wallets, and coordinate with exchanges and authorities.

Time is critical in crypto theft cases—early legal intervention can make the difference between recovery and permanent loss.

Q: Why Sending a Bank Wire Transfer May Help Your Crypto Case

Answer: A bank wire transfer creates a traceable record showing the origin and destination of your funds. This paper trail can strengthen your case by proving ownership and your intent to invest legitimately. Banks are subject to strict compliance laws, and their documentation often becomes key evidence in crypto scam investigations. If you used a bank wire in a fraudulent transaction, our attorney could leverage those records to support your recovery claim.

Need Legal Help Recovering Lost Cryptocurrency?

If you’ve been the victim of a cryptocurrency scam or lost access to your digital assets, Peter Katz Law can help. Our attorneys specialize in crypto fraud recovery, tracing stolen funds through blockchain analysis, and pursuing claims against fraudulent exchanges, brokers, and individuals. We work quickly to protect your rights, preserve evidence, and maximize your chance of recovery.

Contact our office today to discuss your case confidentially and take the first step toward reclaiming your assets.