Reports of crypto-related fraud continue to rise.  When you discover that you have been the victim of crypto fraud, one of the first options to consider is to report the matter to Action Fraud.

However, there may be circumstances where Action Fraud cannot or does not adequately deal with your situation.

So, what can you do if you’ve been a victim of crypto fraud and Action Fraud isn’t helpful?

What immediate steps should I take?

The first thing to do if you’ve been the victim of a crypto or NFT theft is to contact the exchange where you bought the crypto.

More generally speaking, depending on the nature of the fraud, there are various avenues to explore. These include an inestigaiton by law enforcement, private prosecution, or civil proceedings. Any of these avenues can be complemented by the implementation of compliant cryptoasset tracing measures.

Reporting to Action Fraud – but what if they can’t help?

It is important to act quickly. You may have already reported the matter to Action Fraud but feel that they have not assisted you adequately; in these circumstances, you may want to consider your wider options.

There are additional steps you can take which will potentially assist the investigation of any allegation of fraud. Reporting the matter to law enforcement may not necessarily result in an investigation, as agencies will apply various considerations before deciding whether to take the matter further. It is, therefore, important to consider the steps you can also take yourself to assist with any subsequent investigation.

The other potential option to consider, if appropriate, is launching a private prosecution or a civil claim.

In this regard, you may also wish to instruct a specialist private investigation firm. These firms can conduct a compliance investigation, which can be used to assist further action through law enforcement, or, alternatively, in civil or criminal proccedings.

In addition, specialist firms bring the benefits of being able to utilise specialist tools to track fund flows and gather evidence in a format that should also be admissible in any subsequent proceedings. In theory, the blockchain (where all crypto transactions are recorded) is a transparent record, therefore it should technically be possible to trace all the transactions and thus evidence the trails of any purported fraudulent activity.

Finally, it is worth ensuring that any investigation is assisted by expert legal advice. Gherson Solicitors bring combined expertise from a criminal, civil and regulatory perspective, underpinned by a firm understanding in cryptoassets and blockchain technology

Increased reports of crypto fraud and scams – More from Gherson

The team have previously written a blog entitled what to do if you think that you have been victim to a crypto fraud or scam. This followed an earlier blog entitled what can you do to try and help avoid a crypto fraud of scam and what should I do if my NFT has been stolen by a crypto fraudster?

Criminal investigations and litigation

Gherson’s solicitors criminal litigation, regulatory and investigatory team combine an expert knowledge of criminal and regulatory law underpinned with a firm understanding of digital assets and blockchain technology.  As such, the team is able to provide expert strategic advice to anyone wanting to investigate and pursue a potential theft of crypto assets.

The team is also able to provide advice to anyone facing investigation in relation to any allegation of criminality involving cryptoassets.

Regulation and compliance

In these constantly changing times, firms that deal with cryptoassets, and additionally have exposure to firms that do, will need to carefully consider all their systems and controls to ensure that they are able to comply with all relevant AML and sanctions regulations.  Gherson’s white-collar crime and regulatory team are able to provide advice and assistance with AML and sanctions compliance, including in situations involving cryptoassets. 

Additionally, the team has recently started a series on the regulation of crypto, with the aim of advising those who work in the compliance of this sector.  In addition, for those who would like advice on relevant issues, including those who have had issues with the FCA registration process, our specialist regulatory and compliance team can guide individuals and companies through the process.

Please do not hesitate to contact us for further advice, send us an e-mail, or alternatively, follow us on X or LinkedIn to stay up-to-date.

The information in this blog is for general information purposes only and does not purport to be comprehensive or to provide legal advice. Whilst every effort is made to ensure the information and law is current as of the date of publication it should be stressed that, due to the passage of time, this does not necessarily reflect the present legal position. Gherson accepts no responsibility for loss which may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please do not hesitate to contact Gherson. Legal advice is only provided pursuant to a written agreement, identified as such, and signed by the client and by or on behalf of Gherson.

©Gherson 2025

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