Meta, the parent company of Facebook and Instagram, has taken down millions of accounts this year linked to overseas scam centers involved in a fast-growing cyber-related fraud known as “pig butchering.” This action is part of Meta’s multifaceted strategy to combat scams that have cost U.S. victims billions of dollars in recent years, following two years of concerted efforts.
What is Pig Butchering?
Pig butchering refers to the process of building trust with victims under false pretenses, eventually leading them to unwittingly hand over their money to scammers. This metaphorical “fattening up” of victims has forced hundreds of thousands of people into running these scams, according to estimates.
Meta’s Strategy and Insights
In a blog post, Meta shared its approach to countering cross-border criminal organizations behind forced-labor scam compounds under its Dangerous Organizations and Individuals (DOI) and safety policies. Meta aims to inform the industry’s defenses and collectively protect people from criminal scammers by sharing their insights.
The Scale of the Fraud
Scammers conduct pig butchering through social media sites, dating websites, messaging apps, and text messages. A study from February estimated global losses from pig butchering at $75 billion. The FBI reported that victims lost $4.6 billion to investment fraud, often overlapping with pig butchering, in 2023, up from $3.3 billion in 2022.
Criticism and Expansion of Crackdown
An influential British banker criticized social media companies, including Meta, for not doing enough to combat scams. Initially focusing on scam centers in Cambodia, Meta’s crackdown has expanded to other parts of Asia, including Myanmar, Laos, the Philippines, and the United Arab Emirates.
Scam Centers and Forced Labor
Meta highlighted that during the COVID-19 pandemic, scam compounds run by organized crime emerged in the Asia Pacific region as major sources of pig butchering and other scam activities. These scam centers target people worldwide, luring unsuspecting job seekers with too-good-to-be-true job postings and forcing them to work as online scammers under the threat of physical abuse.
Meta’s Actions and Collaboration
Meta has formed teams to tackle pig-butchering scam hotspots, designating entities as dangerous organizations and monitoring those trying to evade Meta’s enforcement. It has developed products to warn users about suspicious activities and has collaborated with law enforcement and industry peers on prevention.
Law Enforcement Involvement
U.S. law enforcement has conducted operations to recover cryptocurrency stolen through pig-butchering scams, highlighting the ongoing efforts to address this widespread fraud.
