Spanish authorities, in coordination with Europol and law enforcement agencies from Estonia, France, and the United States, have dismantled a major cryptocurrency investment fraud ring responsible for defrauding over 5,000 victims across the globe.
On 25 June, the Guardia Civil arrested five individuals, three on the Canary Islands and two in Madrid, who are believed to be key members of the international criminal network. Simultaneously, five property searches were carried out in the same locations.
According to investigators, the fraud ring laundered an estimated EUR 460 million in illicit profits through an elaborate scheme involving fake crypto investments. Victims were lured into investing substantial sums, which were then funneled through a web of associates via cash withdrawals, bank transfers, and crypto-transfers.
Authorities suspect that the group established a complex corporate and banking infrastructure based in Hong Kong, utilizing multiple user accounts and payment gateways registered under false identities to move and conceal the stolen funds. The investigation is still ongoing Europol said.
Last week, law enforcement authorities took down a criminal group that defrauded customers of over EUR 400,000 by hacking into over 400 trusted seller accounts on a major online platform and advertising fake goods. Using phishing techniques, the criminals stole login credentials, locked out legitimate sellers, and tricked customers into placing orders that were never fulfilled.
