Recovery Scam Warning

Within days or weeks of losing money to a crypto scam, you will be contacted by someone claiming to be a blockchain analyst, white-hat hacker, recovery agent, ex-FBI investigator, lawyer "with a contact at Binance," or even a CAFC officer. They have your name, the amount you lost, and sometimes the wallet address you sent funds to. They sound credible. They are scammers, and your contact information has been sold on a victim list.

1. How recovery scams work

The first scam network sells victim lists — name, email, phone, amount lost, scam type — to a second network specializing in recovery scams. Operators message you with a polished pitch: "we've recovered $X for clients like you," "we already see your funds at exchange Y," "we can freeze the wallet within 48 hours." They request:

• An upfront "investigation fee," "smart-contract gas fee," "compliance deposit," or "court filing fee," usually in crypto or wire transfer.
• Your seed phrase, private key, or remote access to "verify" your wallet.
• Repeated additional fees as the "recovery" supposedly progresses.

The "recovery" never happens. Each fee is the scam continuing.

2. Red flags

• They contacted you first. Especially on Telegram, WhatsApp, Instagram, Facebook, TikTok, Discord, or email. Legitimate firms do not cold-message victims.
• They guarantee recovery or quote a specific percentage they can recover. No honest investigator can guarantee anything before reviewing the case.
• They ask for crypto upfront. Real firms invoice in fiat, to a Canadian business bank account, against a signed engagement.
• They claim to be FBI, RCMP, CAFC, IRS, or Interpol. Government agencies don't charge fees and don't recruit on Telegram.
• They ask for your seed phrase, private key, or remote access. No legitimate process requires any of these.
• They use fake testimonials with stock photos or AI-generated faces. Reverse-search them.
• No verifiable Canadian business address, no real team, no LinkedIn profiles that pre-date the scam.
• Domain registered in the last few months. Check with whois.

3. What a legitimate firm actually looks like

• You contacted them, not the other way around.
• Registered Canadian business with a verifiable address and team.
• Written engagement letter before any work begins.
• Fees invoiced in CAD or USD to a business bank account — not crypto, not gift cards.
• Honest assessment up front: most cases are told "no realistic recovery path." That's a feature, not a flaw.
• Never asks for your seed phrase or private keys.
• Works with police, exchange compliance teams, and Canadian counsel where appropriate.
• Fee structure tied to recovery (success-fee component), not large upfront payments.

4. If you've already paid a recovery scam

1. Stop all payments. Block the contact.
2. Screenshot the full conversation, profile, and any payment receipts/TXIDs.
3. File a fresh CAFC report referencing the original case file number — antifraudcentre-centreantifraude.ca.
4. Notify your bank or exchange. Chargeback windows are short.
5. Do not engage with anyone who now offers to recover the recovery scam.

5. How to verify any firm — including us

• Search the business name on the federal/provincial corporate registry.
• Check Google reviews, BBB, Trustpilot — but read them critically (fake reviews are common on both sides).
• Insist on a written engagement letter and Canadian banking details before paying anything.
• Ask for a referral to the lawyer or law firm they work with. Real recovery work involves counsel.
• If anything feels off, call the CAFC line (1-888-495-8501) and ask.