WASHINGTON, D.C. — The Financial Crimes Enforcement Network (FinCEN) of the U.S. Treasury has issued a critical alert to financial institutions nationwide as the rise of financially motivated sextortion wreaks havoc, particularly affecting teenage boys.
This alarming scam features online predators, frequently masquerading as friends, who coerce victims into sharing explicit content. They subsequently threaten to expose the material unless a ransom is paid. In 2024, the FBI recorded nearly 55,000 complaints related to sextortion—marking a 59% increase from the prior year—with total financial losses surpassing $33.5 million.
Worryingly, law enforcement has connected numerous teen suicides to these predatory schemes.
“Financially motivated sextortion schemes have devastating effects on victims and their families,” said FinCEN Director Andrea Gacki. “These schemes can target anyone and often seek to exploit victims’ feelings of helplessness and embarrassment for financial gain. This Notice underscores the importance of suspicious activity reporting to support law enforcement investigations into these abusive schemes and protect Americans from this gross abuse of the U.S. financial system.”
What Is Financial Sextortion?
This crime involves predators—often masquerading as appealing peers—who deceive victims into sharing sexually explicit images or videos. Once they have the material, they threaten to distribute it to the victim’s family, friends, or community unless a ransom is paid.
Although adults can also fall prey, boys aged 14 to 17 have emerged as the primary targets, and sadly, at least 36 teen suicides since 2021 have been associated with this crime.
Scope of the Crisis
- In 2024, the FBI logged nearly 55,000 reports related to sextortion, resulting in losses of $33.5 million—a staggering 59% increase from the year before.
- From 2021 to mid-2025, Homeland Security Investigations (HSI) received 8,483 tips, culminating in 232 arrests and 96 indictments.
- The offenders are frequently linked to organized crime syndicates operating from countries such as Nigeria, Côte d’Ivoire, and the Philippines, while money laundering is often executed by money mules based in the U.S.
How the Scam Works
Initial contact occurs on social media or gaming platforms. Scammers cultivate trust, transition conversations to private chats, and solicit explicit images. Once an image is received, the threats commence. Demands for payment are made—sometimes starting at $10 for minors, but escalating to thousands.
Victims may be pressured into repeatedly sending money or even become mules themselves.
AI Supercharges the Scam
Criminals are increasingly leveraging generative AI tools to produce deepfake content—realistic, sexually explicit media utilizing victims’ photos. Even when individuals refuse to share explicit images, AI-altered content sourced from social media or video chats is employed as blackmail.
The extortion typically initiates on social media or gaming platforms. After establishing trust, scammers shift conversations to private chats and coerce victims for explicit material. Payment requests—ranging from $10 to thousands—follow, with victims instructed to send money via peer-to-peer apps, prepaid cards, or cryptocurrency. In some instances, minors have resorted to stealing from family members under duress.
Numerous operations are conducted from abroad, particularly in West Africa and Southeast Asia. However, money mules located in the U.S.—often hired via online job postings—assist in washing the illicit gains. In a startling case from 2024, two Nigerian individuals received sentences after their plot led to the tragic suicide of a 17-year-old student in the U.S
Manipulative Tactics and Payment Methods
Victims are pressured to pay using:
- Peer-to-peer apps (like Cash App or Venmo),
- Cryptocurrency,
- Prepaid gift cards,
- Cash or checks sent by mail.
To avoid detection, scammers may instruct victims to use misleading payment messages like “for family” or “for orphans.” Scammers may also impersonate lawyers or law enforcement officers offering fake “recovery services” to extort even more.
Case Highlights:
The Ogoshi Brothers
In 2024, Samuel and Samson Ogoshi from Nigeria received sentences of almost 18 years in prison due to a sextortion scheme that resulted in the tragic suicide of a 17-year-old American student and affected more than 100 victims. They exploited hacked accounts and posed as young women to manipulate minors into sharing explicit material.
Four Delaware Men Charged in Global Sextortion and Money Laundering Ring Targeting Minors
Four men from Wilmington have been indicted for their alleged roles in a widespread international sextortion and money laundering scheme that targeted thousands of victims, many of whom were minors across the U.S., Canada, and the United Kingdom.
According to a superseding indictment unsealed on September 5, 2024, the accused — Sidi Diakite (30), Almamy Diaby (22), Abdul Aziz Sangare (26), and Abdoul Aziz Traore (31) — are charged with crimes including cyberstalking, extortion, wire fraud, and money laundering. Two additional co-conspirators were also named: Hadja Kone (28) of Delaware, and Siaka Ouattara (22) of Abidjan, Côte d’Ivoire.
Federal prosecutors allege the group posed as young women online to lure victims—primarily young men and teenage boys—into sending sexually explicit images. The scammers would then threaten to share the images unless payments were made. The operation reportedly extorted nearly $1.9 million through peer-to-peer (P2P) platforms and attempted to extract as much as $6.9 million from thousands of targets.
FinCEN’s Response and Guidance to Financial Institutions
FinCEN is urging financial institutions to:
- Be on high alert for suspicious transactions,
- File Suspicious Activity Reports (SARs) using the reference “FIN-2025-SEXTORTION”,
- Identify warning signs like frequent small-value transfers, payments that include odd memos, or transactions linked to recognized high-risk areas.
This is in line with FinCEN’s extensive initiatives aimed at fighting cybercrime and safeguarding the integrity of the U.S. financial system. Victims are highly encouraged to refrain from making payments, as this seldom halts the extortion. Instead, they ought to: Report to the FBI at tips.fbi.gov
