The rising prominence of cryptocurrency in global finance has unfortunately rendered it a prime target for scams, leading to significant financial losses. This study employs Cognitive Vulnerability Theory and the Social Engineering Approach to examine the dimensions, consequences, and prevention strategies of cryptocurrency scams. We analyzed data from the U.S. Department of Financial Protection and Innovation (DFPI), focusing on the dimensions of scams within the digital landscape and the efficacy of digital strategies and regulations in mitigating them. Our findings reveal seven critical dimensions of cryptocurrency scams and introduce the “Crypto-Cognitive Exploitation Model” (CCEM), which integrates theoretical insights with the unique aspects of these scams. Quantitative analysis indicates that fraudulent trading platform scams are the most prevalent, often intertwined with pig butchering scams, highlighting the complex, multifaceted nature of these fraudulent activities. We demonstrate the practical application of our recommendations, bridging theory and practice in scam mitigation. The study concludes with strategic recommendations for tailored digital approaches and enhanced regulatory mechanisms to combat evolving deceptive practices.