See IRS Pub 547, pagr]e 5
https://www.irs.gov/pub/irs-pdf/p529.pdf
Theft loss deduction limited. For tax years
2018 through 2025, if you are an individual,
casualty and theft losses of personal-use property
are deductible only if the losses are attribut-
able to a federally declared disaster (federal
casualty loss).
However, if this is a loss from Ponzi type investment schemes then it might be deductible, again refer to page 5.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
