Crypto-Related Suspicious Activity Reports Jump 8% in Germany

A German financial watchdog has reportedly recorded a record number of crypto-related suspicious activity reports.

Notifications from banks and financial services companies related to cryptocurrency rose 8.2% to 8,711, Bloomberg News reported Tuesday (June 10), citing information from Germany’s Financial Intelligence Unit (FIU).

The increase came even as the overall number of suspicious activity reports fell in the wake of guidance to the industry about sticking to relevant reports.

Most reports related to Bitcoin, followed by Ether, XRP, Tether and Litecoin, the report said. The FIU says these tokens are in many cases tied to transactions on trading platforms, mixing services or gambling.

The FIU’s findings follow a report from earlier this year by the FBI showing a significant rise in cryptocurrency fraud during 2024. That report showed at least $9.3 billion in losses reported during the year, a 66% increase from 2023’s numbers. Those losses were related to investment scams, extortion, sextortion and fraudulent activity involving cryptocurrency ATMs and kiosks.

Speaking with reporters, Christopher Delzotto, section chief of the financial crime section for the FBI, said that between January 2024 and April of this year, the agency notified more than 5,400 people who had been targeted by cryptocurrency-related fraud — many of whom had no idea they had been targeted.

In other digital asset news, PYMNTS wrote recently about stablecoin issuer Circle’s initial public offering (IPO), arguing that the company’s Wall Street debut marks a larger cultural and economic shift beyond its financial success.

“For years, cryptocurrencies have lived at the margins of institutional finance, oscillating between hype cycles and regulatory crackdowns,” that report said.

By going public, Circle has opened a new chapter. Big banks underwrote its IPO, and retail investors showed hunger for shares, demonstrating a new eagerness for digital assets in the traditional finance world.

“The implications of Circle’s IPO are far-reaching,” PYMNTS added.

“First, it lends unprecedented credibility to the stablecoin market. By successfully listing on the NYSE and attracting underwriters such as Goldman Sachs, JPMorgan and Citigroup, Circle has sent a strong signal to Wall Street: Stablecoins are not only here to stay, but they are also investable, scalable financial products with real-world utility.”

The listing also provides new transparency into Circle’s operations, governance and financials, which could establish a new industry standard. Investors can now scrutinize Circle through things like quarterly earnings and SEC filings, adding levels of visibility that hadn’t before been available in the stablecoin sector, the report noted.