International Law Enforcement Launches “Operation Atlantic” to Combat Crypto Approval Phishing
In a significant cross-border effort to protect digital asset investors, the U.S. Secret Service, the U.K. National Crime Agency, and Canadian authorities have joined forces to disrupt sophisticated cryptocurrency fraud schemes. The initiative, dubbed “Operation Atlantic,” aims to identify and intervene in real-time against “approval phishing” attacks, a method that has cost victims billions of dollars globally.
The partnership, announced in a Monday notice, includes key agencies such as Canada’s Ontario Provincial Police (OPP) and the Ontario Securities Commission (OSC). It builds on previous collaborative work, including the OSC’s Project Atlas and the OPP’s 2024 operation with the U.S. Secret Service that targeted crypto fraud networks.
“Approval phishing and investment scams cost victims millions in financial loss each year,” stated Brent Daniels, deputy assistant director for the U.S. Secret Service’s Office of Field Operations. The operation will also work in coordination with the Royal Canadian Mounted Police, the City of London Police, the U.S. Attorney’s Office for the District of Columbia, and the U.K.’s Financial Conduct Authority (FCA).
Source: Ontario Securities Commission
Understanding the “Approval Phishing” Threat
Operation Atlantic specifically targets a deceptive technique where scammers trick users into signing a malicious blockchain transaction. According to blockchain analytics firm Chainalysis, this transaction grants the scammer’s address unlimited approval to spend specific tokens from the victim’s wallet. Once approved, the scammer can drain those assets at will.
This form of attack is particularly insidious because it exploits a standard function in decentralized finance (DeFi) and wallet interactions. The victim may believe they are interacting with a legitimate protocol or website, but a signed malicious transaction hands over control of their funds.
A Growing Menace in the Crypto Ecosystem
The scale of the problem is substantial. Chainalysis reported that approval phishing scams resulted in approximately $2.7 billion in stolen cryptocurrency between May 2021 and July 2024. This figure underscores why coordinated law enforcement action is deemed critical.
While the total value stolen in all crypto-related scams and exploits fluctuates monthly, the persistence of phishing is clear. According to a February report from crypto intelligence platform Nominis, phishing attacks saw a sharp increase that month, even as overall losses from all scam types fell to $49 million from $385 million in January. This volatility highlights the need for both proactive disruption and ongoing public awareness.
Collaborative Strategy and Broader Context
Operation Atlantic’s strategy focuses on near real-time identification of both potential victims and active fraudulent schemes. By combining the investigative resources and jurisdictional reach of the U.S., U.K., and Canada, the agencies aim to dismantle phishing networks and recover stolen funds where possible.
This tri-national effort reflects a maturing law enforcement approach to crypto crime, moving beyond reactive investigations to more proactive, intelligence-led disrupts. It also complements other industry and regulatory initiatives aimed at securing the ecosystem.
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