Crypto
TikTok user scams Sioux Falls woman out of $400K
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A Sioux Falls resident reported on Friday, May 15, a significant incident of fraud that took place on TikTok over the past year.
On Monday, May 18, Sgt. Aaron Benson with the Sioux Falls Police Department said that a 73-year-old woman reported wiring nearly $400,000 to a presumed content creator on the social media platform, in hopes of investing in cryptocurrency.
The victim first sent over $200,000 toward what was believed to be a digital wallet for crypto funds, Benson said. She then later was asked by the same TikTok user to invest in a credit card system, to which the victim agreed and took out a home equity loan to send over another $197,000.
When the victim inquired on the status of the account, the balance was zero, Benson said.
No charges have been made at this point, and Benson said chances of recouping that money are “very slim.”
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“Talk with your family members on the importance of not sending money to people you haven’t met,” Benson said.
But there are ways to protect yourself. According to the South Dakota Unified Judicial System:
- Research the seller, looking for verified badges on the TikTok Shop
- Check seller ratings and positive consumer feedback
- Watch for vague product descriptions
- Use secure payment methods
- Avoid clicking on suspicious links
- Report a potential scam immediately to your bank and the online platform
Although the decision to report a scam is voluntary, the South Dakota Attorney General’s Office says to also report any potential fraud to your clerk of courts office or law enforcement agency. Victims can also visit the Attorney General’s Office website or call their hotline to receive assistance.
In 2025, the Consumer Protection Division said they received “82,000 calls from people reporting they had been victims of scams.”
Also in 2025, the Federal Trade Commission (FTC) found that the state had “one of the lowest fraud rates in the country,” citing 3,575 reports, which is 42% below the national average.
Violations will result in bans, TikTok says
According to TikTok’s Safety Center, an online scam is a “fraudulent or deceitful act that takes place over the internet” and can include the “exploitation of others for some form of monetary gain.”
Their community guidelines state they “do not allow attempts to defraud or scam members of our community” and that repeated violations may result in “account bans.”
Their most common forms of scams include:
- Returns of fake money or free goods and services
- Mobile games scams that involve clicking on a link
- Ponzi or pyramid schemes
- Phishing
- Debt repayment schemes
“This is a reminder to be aware of other people promising money only if you send money first,” Benson said last year. “If you are trying to figure out whether you are going through something similar, reach out to the police department immediately.”
Angela George often covers crime at the Argus Leader in Sioux Falls, South Dakota. Email ageorge@usatodayco.com.