US, UK and Canada Launch “Operation Atlantic” to Target Crypto‑Approval Phishing Scams
Washington, London, Toronto – Law‑enforcement bodies from the United States, the United Kingdom and Canada announced the start of a coordinated investigation aimed at dismantling “approval phishing” schemes that have been siphoning millions of dollars from cryptocurrency users. Dubbed Operation Atlantic, the effort brings together the U.S. Secret Service, the UK National Crime Agency (NCA), Canada’s Ontario Provincial Police (OPP) and the Ontario Securities Commission (OSC), along with a suite of partner agencies that include the Royal Canadian Mounted Police, the City of London Police, the U.S. Attorney’s Office for the District of Columbia and the UK’s Financial Conduct Authority (FCA).
What the operation targets
Approval‑phishing scams trick victims into signing a malicious blockchain transaction that grants a fraudster permission to move specific tokens out of the victim’s wallet. Once the approval is granted, the attacker can drain the address at any time, often without the user’s knowledge until the funds are gone. According to blockchain analytics firm Chainalysis, these scams accounted for roughly $2.7 billion in stolen crypto between May 2021 and July 2024.
The joint task force will focus on two fronts:
- Identification and protection of at‑risk users – By monitoring blockchain activity and collaborating with exchanges, the agencies aim to intervene before the illicit approvals are executed.
- Recovery of compromised assets – Leveraging international legal mechanisms, the operation seeks to trace and return stolen tokens wherever possible.
Brent Daniels, deputy assistant director of the Secret Service’s Office of Field Operations, underscored that “approval phishing and related investment scams drain victims of millions each year, and a coordinated, near‑real‑time response is essential to curtail their impact.”
How Operation Atlantic fits into broader enforcement
The initiative builds on the OSC’s earlier Project Atlas, which was launched in 2024 with the OPP and the U.S. Secret Service to target overlapping crypto‑fraud networks. The expanded collaboration now adds a trans‑Atlantic dimension, allowing investigators to share intelligence, synchronize arrests and coordinate with financial regulators across three jurisdictions.
The NCA’s public statement highlighted that the operation will also address traditional crypto‑investment frauds that often use the same phishing vectors to lure investors into bogus projects.
Market context – a mixed picture for crypto‑related crime
Recent data from crypto‑intelligence platform Nominis shows a sharp uptick in phishing attempts during February, even as the total dollar value of crypto‑theft fell from $385 million in January to $49 million. This suggests that while attackers are launching more campaigns, the average loss per incident may be decreasing—potentially a sign of growing user awareness or more effective early‑stage detection by platforms.
Chainalysis’ own Operation Spincaster, launched earlier this year, has already disrupted a number of approval‑phishing groups and flagged the technique as one of the most lucrative for cyber‑criminals.
Analyst perspective
- Cross‑border cooperation is a game changer. Crypto assets are inherently borderless; coordinated law‑enforcement actions can cut through jurisdictional blind spots that previously allowed scammers to operate with impunity.
- Real‑time interdiction could reduce losses. By focusing on “near‑real‑time” detection, the task force hopes to freeze illicit approvals before funds are moved, a capability that could markedly lower the average loss per victim.
- Regulatory and industry collaboration will be crucial. The involvement of the FCA and OSC implies a willingness to share compliance data, which could accelerate the identification of fraudulent wallets and strengthen preventive messaging to investors.
Key takeaways
- Operation Atlantic is a tri‑nation effort targeting approval‑phishing scams that have generated billions in illicit crypto gains.
- The task force combines federal, provincial and municipal law‑enforcement agencies with financial regulators to enable rapid detection, victim assistance and asset recovery.
- Early indicators show a rise in phishing attempts, but overall stolen value has dipped, suggesting mitigation measures may be taking effect.
- Success will hinge on the ability to act in real time and maintain open channels of intelligence sharing across borders.
The coordinated crackdown marks one of the most ambitious law‑enforcement responses to crypto fraud to date, and its outcomes could shape how governments confront digital‑asset crime moving forward.
The information in this article is drawn from official releases by the U.S. Secret Service, the UK National Crime Agency, the Ontario Provincial Police and the Ontario Securities Commission, as well as analysis from Chainalysis and Nominis.
Source: https://cointelegraph.com/news/us-uk-canada-enforcement-operation-crypto-fraud?utm_source=rss_feed&utm_medium=feed&utm_campaign=rss_partner_inbound
