Cyber Scams Cost the World $1 Trillion in 2024; US Takes the Biggest Hit

Despite rising awareness about cyber scams fueled by media coverage, cybersecurity education, and real-life experiences, scammers continue to stay ahead of the game. With advanced tactics like deepfakes, AI-driven fraud, and social engineering, they are pulling off more effective scams and causing more financial damage than ever before.

According to data presented by Stocklytics.com, cyber scams cost the world a staggering $1 trillion last year. Here’s a closer look at the hardest-hit nations.

Americans Lost an Average of $3,500 per Scam, Twice as Much as Europeans or Chinese

Millions of people worldwide are still handing their money to scammers in a matter of seconds. While this may seem surprising given the rise in cybersecurity awareness campaigns, the reality is that scammers are constantly evolving their methods.

According to the Council on Foreign Relations, criminal groups, mainly from China, set up cybercrime hubs in Southeast Asia last year, targeting victims through online gambling and fraud operations. These centers specialize in so-called “pig butchering,” a disturbing blend of romance and crypto scams that exploit victims’ emotions through dating apps and WhatsApp. Alarmingly, Chainalysis reports show that pig butchering has surpassed Ponzi schemes as the most prevalent form of online fraud.

The latest Global Anti-Scam Alliance report showed the total financial cost of cyber scams soared to a jaw-dropping $1.03 trillion in 2024, or 20% more than the GDP of countries like the Netherlands, Turkey, or Switzerland. A survey among 58,000 people worldwide found that nearly half of the world experienced scams weekly, though financial losses varied significantly by country.

Americans were by far the biggest victims of cyber scams, losing an average of $3,500 per incident, more than double the losses reported in Europe and China. However, several European nations were close to that figure, with Denmark ($3,067), Switzerland ($2,980), and Slovakia ($2,738) as the most affected.  Singapore also saw a hefty average loss of nearly $2,500, while Canada, the United Kingdom, France, and China hovered closer to the $1,500 mark. On the flipside, India and Kenya saw the lowest average losses at $384 and $109, respectively.

Identity Thefts, Shopping Scams, and Investment Frauds Dominate

When it comes to how scammers reach their victims, phone calls and text/SMS messages remained the primary attack methods in 2024, with a notable rise in WhatsApp scams across several regions. The survey also showed that shopping scams were the most common form of cyber fraud, affecting 22% of respondents. Investment fraud and identity theft followed closely, accounting for 18% and 17% of scams, respectively. Interestingly, phishing scams were the least reported type of cyber fraud, with less than 5% of respondents encountering them in 2024.