What is The Pig-Butchering Scam and How to Protect Yourself

When you think about pig butchering, the first thing that comes to mind is a farm-to-table business venture. Sadly, it’s not all about livestock. There’s a scam called pig-butchering where criminals fatten up their victims before taking all of their money.

The pig-butchering scam is where scammers fatten up their victims through romance and then later offer an investment opportunity to steal their money. This can lead to financial loss and emotional distress.

The term “pig butchering” came from a Chinese phrase "shā zhū pán,” which translates to “slaughtering the pig.” It’s the practice of making pigs as fat as possible before butchering them. Scammers use the same method where they fatten up their victims with emotional connection and promises of wealth before slaughtering them financially.

The pig-butchering scam is a mix of financial fraud and romance scams. Scammers trick victims into a fake relationship, gain their trust, then introduce an investment opportunity designed to steal the victim’s money.

This scam mostly involves fake crypto investments. According to data, pig butchering scam led to a 40% increase in crypto scam revenue in 2024.

Additionally, studies have found that pig-butchering scams likely led to a financial loss of over $75 billion.

And in this age of technological advancement, innovation like AI has made it easier for scammers to deceive people. For example, they can use deepfake technology to create images or impersonate attractive people and use them to trick people into a fake relationship.

Here’s the detailed process of the scam:

• Step 1 - Research: Scammers first do research about their targets. They find details like contact details and financial situations through social media, data brokers, public records, and other online resources.

• Step 2 - Contact: Scammers start by messaging their victims through social media (e.g. Facebook and Instagram) and dating apps (e.g. Tinder). Scammers also send random text messages, usually pretending to have contacted the wrong number to spark a conversation.

• Step 3 - Building Trust: Scammers will gain their victim’s trust by consistently engaging with them, which may take weeks or months. They’ll share fabricated stories about their life to hook the emotions of their targets.

• Step 4 - Investment Opportunity: Once the victim trusts the scammer, they’ll introduce an investment opportunity – often in crypto or foreign exchange trading. They’ll claim that you can get huge returns or say that investing will secure your dream life with them, your lover.

• Step 5 - Deposit and Exit: Once victims make several investments, scammers will disappear. They will shut down the fake investment platform, cut off all communication, leaving victims with nothing.

This scam can lead to significant financial loss, with victims losing their entire life savings. What’s worse, victims tend to experience emotional and psychological trauma. The betrayal of someone you thought loved you can make it hard for you to trust again and lead to depression, anxiety, and intense feelings of shame.

One victim of this scam was Dennis Jones, an 82-year-old devoted grandfather and activist.

He was drawn into the pig-butchering scam by a woman named Jessie on Facebook.

He and Jessie engage in online conversations for months. She was able to gain Dennis’ trust, making him think they’ve formed a relationship.

Eventually, Jessie convinced Dennis to invest in cryptocurrency. He invested his entire life savings, and when he had nothing left, Jessie still asked for more.

When Jessie couldn’t get any more money from Dennis, she vanished completely along with the money.

This left Dennis in financial and emotional ruin. He became more withdrawn from his family.

His children, Matt and Adrianne, planned to help Dennis feel that he’s not alone and help rebuild his life.

But on the day of their meeting, Dennis was unreachable. Hours later, police informed Matt and Adrianne that Dennis had taken his own life.

The tragic story of Dennis is just one among countless pig butchering scams. This is a massive global scam – often run by Chinese criminal networks.

Here’s how you can protect yourself from pig-butchering scams:

• Keep Your Personal Data Safe: Remember that scammers start by researching their targets. So, keep your personal data secure. This means being careful of what information you share on social media. You can also opt out of data brokers – companies that collect and share personal information.

• Always Verify Identities: Never trust strangers online easily. If you’re trying online dating, make sure to verify identities first by simply running a reverse image search, which will allow you to see whether an image or identity is being used across multiple platforms or linked to scams.
  
• Don’t Invest Quickly: Avoid rushing into investments. You should first check financial regulations to see if the trading platform is registered.
  
• Watch for Emotional Manipulation: Keep in mind that scammers love to manipulate the emotions of their targets to make them more vulnerable. So, watch out for manipulative tricks like creating a sense of urgency through fake emergencies or overly dramatic stories.

Overall, pig-butchering scams are sophisticated schemes that combine elements of financial fraud and romance scams.

It’s also evolving, thanks to artificial intelligence.

Fortunately, you can still avoid falling from this scam, starting by protecting your personal information and always verifying.

Keep in mind: If it’s sounding too good to be true, whether it’s love or finance, then it probably is.

So, stay vigilant and trust your instincts to keep your money and heart safe from scammers!

How do I know if I have been scammed?

You can check if you’ve been scammed by checking your bank or credit card statement for unusual transactions. You can also watch out for bills or invoices for things you didn’t spend money on and benefit applications that you didn’t file for.

How can you forgive yourself for falling victim to a scam?

You can forgive yourself for becoming a victim of a scam by giving yourself some grace. Remember, it’s not your fault. So, instead of saying negative things about yourself, focus on being compassionate and encouraging to yourself. It’s also ideal to do stuff like yoga or walking outside to relieve negative thoughts.

Can my bank refund scammed money?

Generally, banks are required to refund money from unauthorized transactions. However, it highly depends on how fast you reported the issue. Sometimes, companies will freeze the charge and offer provisional credit while investigating the scam.