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Chronicles

The story behind the story

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FBI says it received 467,361 cybercrime complaints in 2019, with attacks involving business email compromise causing about half of the estimated $3.5B in losses

Average loss per BEC scam amounted to nearly $75,000, per complaint, on average.  —  The FBI received 467,361 internet …

ZDNet Catalin Cimpanu

Context & Ripple Effects

This is the FBI's Internet Crime Complaint Center annual report for 2019, and it lands mid-arc: losses had already doubled from $2.7B reported for 2018 to $3.5B here, and the very next year's report showed them climbing again to $4.2B. The through-line is business email compromise — already flagged by FinCEN as a roughly $301M-per-month attempted-theft problem in 2018 — now confirmed by IC3 as the single biggest loss driver, at roughly half the total.

What makes the report matter beyond its headline number is the granularity: an average loss near $75,000 per BEC complaint means this is not a consumer-scam story but a corporate wire-fraud one, hitting finance and procurement functions directly.

First-order effects

  • US businesses filing BEC complaints are absorbing average losses near $75,000 each, making wire-transfer fraud the costliest cybercrime category the FBI tracked in 2019.
  • The FBI's IC3 enters 2020 with a record 467,361-complaint baseline, sharpening its case for prioritizing BEC over higher-volume but lower-value fraud types.

Second-order effects

  • Treasury's FinCEN, which was already measuring BEC attempt volumes monthly, gets fresh confirmation that payment-flow surveillance on compromised-business wires is where federal anti-fraud resources concentrate.
  • Insurers, banks, and email-security vendors serving corporate customers face mounting evidence that credential-phishing and payment-redirect attacks — not exotic malware — drive the dollar losses they are being asked to underwrite or block.

Third-order effects

  • If the pattern holds — and it did, with IC3 later tallying 241K+ BEC reports and $43B+ in actual and attempted losses from mid-2016 to mid-2019 and US losses reaching nearly $21B by 2025 — annual FBI loss figures harden into the de facto benchmark regulators and boards use to size cyber risk.
  • BEC's persistence as the top loss category across successive reports points toward a structural shift: corporate defenses and compliance budgets anchored around email-based payment fraud rather than perimeter security alone.

The trend: Reported cybercrime losses in the US are compounding year over year, with business email compromise entrenched as the largest and most durable share of the total.

Discussion

  • @fbi @fbi on x
    The most financially costly complaints involved business email compromise schemes, confidence or romance fraud, and spoofing. Learn more about these crimes at https://www.fbi.gov/.... https://twitter.com/...