Norway’s Wake-Up Call from an $80M Crypto Scam

Norwegian authorities recently charged four men in connection with an $80 million cryptocurrency fraud.

What does this case reveal about the evolving fraud landscape in Norway?

Industry news recently reported a striking case involving a large-scale cryptocurrency scheme. According to investigators, a fraud ring based in Norway orchestrated a global fraud and money laundering operation that deceived thousands of victims worldwide. Authorities estimate the group collected over NOK 900 million (approximately $86 million), with more than NOK 700 million laundered through a Norwegian law firm before being funneled to accounts in Asia.

This case underscores two important trends. First, the growing prevalence of digital fraud in Norway—reflected in both the rising number of victims and the increasing presence of fraud networks operating within the country. Second, the increasing threat of cryptocurrency-based schemes, which are inherently cross-border and exploit regulatory gaps between jurisdictions.

Understanding the fraud landscape in Norway

In line with global trends, the prevalence of fraud—particularly authorized fraud—is increasing in Norway. A survey commissioned by Tietoevry Banking found that 18% of Norwegians reported falling victim to financial fraud or identity theft between July 2023 and July 2024.

According to fraud statistics from the Financial Supervisory Authority (FSA) for the first half of 2024, total fraud-related losses for banks involving account transfers and payment card usage rose by NOK 85 million, reaching NOK 607 million—a 16% increase compared to the second half of 2023. The most significant rise came from fraud involving account transfers, particularly cases where customers were manipulated into authorizing the transactions themselves.

There are several reasons why Norway—and the Nordic region more broadly—is an attractive target for fraudsters. Norway ranks among the ten richest countries in the world by GNP per capita. This wealth, combined with easy access to large loans, makes individuals in the country appealing targets.

In a commentary for Nordic FinTech Magazine, Cecilie Fjellhøy—a Norwegian-born fraud fighter and public speaker who gained international recognition as the whistleblower featured in Netflix’s Tinder Swindler—describes how “it took just two minutes to apply for 10 bank loans and less than two days to secure over £50,000 in unsecured loans.” She reflects on the experience, calling the ease of access to credit “frightening” and “a critical flaw in our [i.e., Norwegian] financial systems.”

Additionally, high public trust in government institutions—while essential for smooth transactions—can also make individuals more vulnerable to scams. Combined with the country’s high level of digitalization, these factors contribute to a heightened fraud risk.

Cryptocurrency scams: A global threat

However, the recent cryptocurrency scheme has impacted not only Norwegians but victims around the world, with the state prosecutor describing the case as one of the largest investment scams to affect global investors in recent years.

The scheme followed a familiar pattern: victims were lured into purchasing “product packages” that included cryptocurrency and company shares. They were promised high returns from investments in gas fields, mining, and real estate. However, investigators report that no actual investments took place. Instead, funds from new investors were used to pay earlier participants—fitting the classic Ponzi scheme model.

Since 2020, global cryptocurrency scam activity has grown by an average of 24% per year.

How AI is fueling crypto fraud

The rise of AI-driven fraud adds another layer of risk, as fraudsters now use artificial intelligence to build convincing fake trading platforms, deliver highly targeted phishing campaigns, impersonate legitimate exchanges and wallet providers, and even produce deepfake videos of financial experts and celebrities to lure victims.

Norwegian consumers, financial institutions, and authorities are increasingly aware of the growing threat posed by AI-enhanced scams. In fact, 46% of Norwegians say they are quite or very concerned that AI will increase the risk of fraud.

Fighting fraud with AI-powered intelligence

On the other hand, AI is a strong ally in combating fraud, enabling more accurate detection. It can identify subtle patterns and anomalies that traditional systems often miss, helping institutions respond faster to emerging threats.

For example, in February 2025, Telenor Norway announced a nationwide rollout of its advanced call protection service, Nummervarsel. The AI-powered solution automatically flags suspicious or fraudulent calls in real time, helping users make informed decisions before answering.

Why advanced fraud detection matters for Norwegian banks

AI-powered fraud prevention can also play a critical role in Norwegian financial institutions, which face the challenge of detecting and stopping fraud daily. In just the first half of 2024, Norwegian banks blocked fraud attempts involving account transfers and card payments totaling NOK 1.34 billion (approximately $128 million).

To increase detection rates and reduce false positives, AI is a powerful tool. A clear example is ThreatMark’s Behavioral Intelligence Platform, which applies advanced AI and machine learning to help banks identify and stop even the most sophisticated scams, including authorized push payment (APP) fraud.

The rising threat of crypto scams in 2025

Returning to the cryptocurrency scheme mentioned earlier, the troubling reality is that—while massive—it was far from unique. According to Chainalysis, 2024 was likely another record-breaking year for crypto scammers, who continue to evolve their tactics and deceive victims through increasingly sophisticated methods.

This underscores the growing need for advanced fraud detection that can adapt to emerging threats—particularly in cases where customers are manipulated into authorizing fraudulent transactions. In this fight, platforms like ThreatMark’s Behavioral Intelligence can be an invaluable asset for banks working to stay one step ahead.

Learn more about the Behavioral Intelligence Platform