Lost Crypto in an Investment Scam? The Loss May Be Tax Deductible

The article discusses how losses from crypto investment scams may be tax-deductible under IRS guidelines, citing IRC §165(c)(2) and a 2025 Chief Counsel Memorandum. It provides prevention advice, such as avoiding investments from unsolicited sources, and clarifies that deductions depend on factors like the intent to profit and irrecoverable losses.