Rising Crypto Crime Driven by Lack of Oversight and Retail FOMO

Slow regulations, fear of missing out (FOMO) and growing adoption are powering a crypto crime “supercycle,” according to cybersecurity practitioners. 

Crypto crime losses hit a new record in the first half of 2025, beating the previous record set in 2022 and nearly equal to the total losses from all of 2024.

Speaking to Cointelegraph, Bill Callahan, a retired DEA agent and cryptocurrency investigator, said a lack of regulation combined with hype and…