Recovery Strategies Every Blockchain Scam Victim Must Know
Why Blockchain Scams Cause Such Severe Damage
Unlike conventional financial fraud, blockchain scams are rooted in the abuse of technological characteristics.
Due to the inherent nature of blockchain technology, once a virtual asset transaction is completed, it is technically irreversible. This non-reversible structure makes post-incident recovery extremely difficult.
When overseas exchanges or foreign wallets are involved, jurisdictional issues further complicate the situation, significantly raising the difficulty of any legal or practical response.
A major problem is that many victims mistakenly perceive these cases as mere investment losses.
Technical jargon such as whitepapers, smart contracts, and algorithms is often used to disguise intentional deception, causing victims to miss the critical window for effective action. In practice, early response timing plays a decisive role in determining whether meaningful recovery is possible in blockchain fraud cases.
For those already experiencing anxiety and fear due to such losses, we hope this guide helps provide some clarity and direction.
Common Types of Blockchain Scams (From the Victim’s Perspective)
In practice, blockchain scams tend to follow recurring patterns:
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Fraud disguised as coin investments or private sales
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Schemes posing as crypto loans, staking programs, or yield products
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Fake exchanges, wallets, or phishing sites designed to steal login credentials or assets
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Signal groups, automated trading services, or guaranteed-profit schemes
The critical issue is distinguishing between ordinary investment risk and losses caused by deceptive conduct.
This distinction directly affects whether criminal fraud charges may be established and whether civil liability for damages can be pursued. If this assessment is incorrect, the entire response strategy may be fundamentally misguided.
Immediate Actions to Take Once You Recognize the Fraud
If fraud is suspected, the first step is to immediately stop any further transactions, change passwords for all related accounts, and prevent secondary damage.
At the same time, evidence preservation is the highest priority.
You must securely retain and back up original materials, including transaction hashes, wallet addresses, screenshots and original files of Telegram, KakaoTalk, or email communications, website URLs and whitepapers provided by the counterparty, contracts, and transfer records.
Failure at this stage can create decisive limitations in both criminal and civil proceedings later on.
You may request withdrawal freezes from virtual asset service providers (exchanges), ask investigative authorities to suspend payments related to fraudulent accounts, and consider filing a report under the Act on the Prevention of Telecommunications-Based Financial Fraud and Refund of Damage Proceeds.
The earlier the response, the greater the possibility of practical measures being taken. Waiting passively only reduces the available options—active intervention is essential.
How Decent Law Firm Makes a Practical Difference
Blockchain scam cases cannot be resolved simply by filing a criminal complaint. They require a coordinated strategy that integrates structural analysis of the scam, clear legal issue identification, and parallel criminal and civil actions.
Decent Law Firm conducts in-depth reviews of transaction flows and technical structures to precisely assess whether fraud is legally established, and prepares structured criminal complaints and legal memoranda for submission to investigative authorities.
We also develop realistic, case-specific strategies involving exchanges, overseas platforms, and potential civil recovery depending on the feasibility of identifying the perpetrators.
Ultimately, blockchain scams are not merely technical issues—they are problems of legal structure and accountability.
If damage has already occurred, it is crucial not to proceed alone. Early, accurate legal intervention is the most effective way to define the proper course of action.
In blockchain fraud cases, speed and precision make a tangible difference. We strongly encourage you to prepare and act without further delay.
