Glossary · Crypto Regulation

Wire fraud

Wire fraud is a federal crime involving any scheme to defraud others using electronic communications, such as email, phone, or the internet.

What it is

This type of fraud is broadly defined and covers a wide array of deceptive schemes that rely on interstate or international wires, including telephone calls, emails, text messages, and internet transmissions. The core elements are a scheme to defraud and the use of wire communications to execute or further that scheme. It does not require the victim to lose money, only that the perpetrator intended to defraud.

In the crypto industry, wire fraud charges are frequently brought against individuals involved in scams, hacks, or market manipulation schemes where digital communications were used. This includes founders of fraudulent projects, individuals running "rug pulls," or those who orchestrate phishing attacks to steal crypto assets. News reports often feature wire fraud alongside other charges like money laundering or securities fraud in cases against crypto criminals.

Why it matters

Wire fraud is a common charge in crypto scams and hacks, highlighting the risks of digital asset interactions and the importance of vigilance.

Reviewed under editorial standardsUpdated September 26, 2026Not investment advice