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The co-founder of Terraform Labs, Do Kwon, could potentially face up to 40 years in prison in South Korea for his involvement in the collapse of the TerraUSD and Luna cryptocurrencies. However, during recent legal proceedings, a judge raised the question of whether South Korea would disregard his sentence in the United States. Kwon was sentenced to a significant prison term in the U.S. related to the fraudulent actions behind the collapse of the crypto project, and South Korean authorities are now grappling with how to handle his case in light of these developments. The issue of whether South Korea will honor the U.S. sentence or impose its own legal consequences remains uncertain, as the two nations’ judicial systems might not be aligned in their treatment of Kwon's case.
#TerraformLabs #DoKwon #CryptoScandal #LUNACollapse #CryptoFraud
#TerraformLabs #DoKwon #CryptoScandal #LUNACollapse #CryptoFraud
US Prosecutors Push for 12-Year Jail Sentence for Do Kwon — Crypto’s Biggest Fraud Sentencing Looms
U.S. federal prosecutors are asking a judge to hand Terraform Labs founder Do Kwon a 12-year prison sentence after his guilty plea in the collapse of the TerraUSD (UST) stablecoin and LUNA — a crash that erased around $40 billion in value and rocked the entire crypto market.
Prosecutors argue his fraud was “colossal in scope,” misleading investors and triggering one of crypto’s worst crashes ever. Even as Kwon’s team pushes for a lighter five-year sentence — citing time already served abroad — the Justice Department says only a harsh term fits the damage done.
Sentencing is scheduled for December 11, 2025. Whatever the outcome, this decision could become a major precedent — signalling that crypto-scale fraud will no longer be tolerated lightly.
#CryptoNews #Terra #CryptoFraud #bitcoin
U.S. federal prosecutors are asking a judge to hand Terraform Labs founder Do Kwon a 12-year prison sentence after his guilty plea in the collapse of the TerraUSD (UST) stablecoin and LUNA — a crash that erased around $40 billion in value and rocked the entire crypto market.
Prosecutors argue his fraud was “colossal in scope,” misleading investors and triggering one of crypto’s worst crashes ever. Even as Kwon’s team pushes for a lighter five-year sentence — citing time already served abroad — the Justice Department says only a harsh term fits the damage done.
Sentencing is scheduled for December 11, 2025. Whatever the outcome, this decision could become a major precedent — signalling that crypto-scale fraud will no longer be tolerated lightly.
#CryptoNews #Terra #CryptoFraud #bitcoin
Crypto Network Falls: International Authorities Dismantle Scheme That Laundered Over $815 Million
📅 December 5 | Europe and Asia
What just happened is a direct blow to the heart of global digital fraud. A coordinated international operation has dismantled a criminal network that laundered over $815 million using cryptocurrencies, fake corporate structures, and cross-border manipulation systems. Authorities were able to track the organization's activity for months, uncovering a sophisticated network that affected thousands of victims.
📖According to The Block, the fraud was carried out by an international group operating from Europe and Asia, moving illicit funds through wallets, offshore bank accounts, and money mules. Each transaction was designed to appear legitimate.
The most disturbing thing was discovering that this structure was directly connected to fraudulent call centers dedicated to deceiving individuals with fake investments. The level of detail was so precise that they avoided AML and KYC controls for months, demonstrating a more advanced technical and organizational capability than many expected.
What began as an isolated investigation ended up being a transnational operation with multiple arrests, the seizure of digital and banking assets, and a direct blow to a structure that had already established permanent money laundering channels.
The authorities acted with surgical precision, demonstrating that international cooperation is now an essential element in the fight against crypto crime. The precedent here is enormous: law enforcement not only tracked digital movements but also connected the network to human operations centers, something few thought possible on this scale.
In terms of industry impact, exchanges will need to strengthen their surveillance systems, regulators will have more grounds to introduce new measures, and the public will perceive that the ecosystem can be effectively monitored. Paradoxically, the takedown of this dirty network doesn't destroy the ecosystem's reputation: it strengthens it.
Topic Opinion:
The existence of criminal networks is no surprise, but the fact that they have been dismantled on this scale shows that the industry and authorities can cooperate effectively.
💬 Do you think this type of operation will improve trust in the crypto ecosystem?
Leave your comment...
#CryptoFraud #Europol #security #BTC #CryptoNews $BTC
What just happened is a direct blow to the heart of global digital fraud. A coordinated international operation has dismantled a criminal network that laundered over $815 million using cryptocurrencies, fake corporate structures, and cross-border manipulation systems. Authorities were able to track the organization's activity for months, uncovering a sophisticated network that affected thousands of victims.
📖According to The Block, the fraud was carried out by an international group operating from Europe and Asia, moving illicit funds through wallets, offshore bank accounts, and money mules. Each transaction was designed to appear legitimate.
The most disturbing thing was discovering that this structure was directly connected to fraudulent call centers dedicated to deceiving individuals with fake investments. The level of detail was so precise that they avoided AML and KYC controls for months, demonstrating a more advanced technical and organizational capability than many expected.
What began as an isolated investigation ended up being a transnational operation with multiple arrests, the seizure of digital and banking assets, and a direct blow to a structure that had already established permanent money laundering channels.
The authorities acted with surgical precision, demonstrating that international cooperation is now an essential element in the fight against crypto crime. The precedent here is enormous: law enforcement not only tracked digital movements but also connected the network to human operations centers, something few thought possible on this scale.
In terms of industry impact, exchanges will need to strengthen their surveillance systems, regulators will have more grounds to introduce new measures, and the public will perceive that the ecosystem can be effectively monitored. Paradoxically, the takedown of this dirty network doesn't destroy the ecosystem's reputation: it strengthens it.
Topic Opinion:
The existence of criminal networks is no surprise, but the fact that they have been dismantled on this scale shows that the industry and authorities can cooperate effectively.
💬 Do you think this type of operation will improve trust in the crypto ecosystem?
Leave your comment...
#CryptoFraud #Europol #security #BTC #CryptoNews $BTC
The $77 Altcoin Just Went to Zero. Watch the Scam Unfold.
The reckoning is here. We just watched $TRUMP—a coin trading near $77—collapse to $1INCH in a brutal, irreversible dump. This is not volatility; this is market fraud in plain sight. Anyone still holding this altcoin needs to understand the exit door is permanently closed. This is why strict due diligence, and holding core assets like $BTC, remains the only path to survival in this chaotic cycle. Protect your capital.
Disclaimer: Not financial advice.
#CryptoFraud #Altcoins #Memecoins #MarketCollapse #BTC
🚨
The reckoning is here. We just watched $TRUMP—a coin trading near $77—collapse to $1INCH in a brutal, irreversible dump. This is not volatility; this is market fraud in plain sight. Anyone still holding this altcoin needs to understand the exit door is permanently closed. This is why strict due diligence, and holding core assets like $BTC, remains the only path to survival in this chaotic cycle. Protect your capital.
Disclaimer: Not financial advice.
#CryptoFraud #Altcoins #Memecoins #MarketCollapse #BTC
🚨
MASSIVE EXCHANGE FRAUD Founder Sued For 60 Million
The crypto ecosystem just absorbed another devastating blow. Tokenize Xchange founder Hong Qi Yu is now facing a $60.5M lawsuit in Singapore following the collapse of his exchange after regulators rejected its license.
The numbers are staggering: The exchange operator allegedly owes customers $266.3M but holds less than $3M in assets, leading to accusations of mass customer asset misappropriation. This incident is a brutal, urgent reminder that counterparty risk is not theoretical. If you value your future, take custody of your $BTC and $ETH immediately. Not your keys, not your coins.
This is not financial advice.
#CryptoFraud #ExchangeRisk #Singapore #Bitcoin #Regulation
🚨
The crypto ecosystem just absorbed another devastating blow. Tokenize Xchange founder Hong Qi Yu is now facing a $60.5M lawsuit in Singapore following the collapse of his exchange after regulators rejected its license.
The numbers are staggering: The exchange operator allegedly owes customers $266.3M but holds less than $3M in assets, leading to accusations of mass customer asset misappropriation. This incident is a brutal, urgent reminder that counterparty risk is not theoretical. If you value your future, take custody of your $BTC and $ETH immediately. Not your keys, not your coins.
This is not financial advice.
#CryptoFraud #ExchangeRisk #Singapore #Bitcoin #Regulation
🚨
The Singapore Exchange Collapse Just Cost Its Founder Everything
Another day, another centralized exchange betrayal. The Tokenize Xchange fallout is brutal. Users are suing the founder for $60.5M after the platform collapsed, owing customers a staggering $266.3M while holding only $2.6M in assets. This is why self-custody is non-negotiable. If you do not hold your private keys, you do not own your $BTC or your $ETH. The systemic risk in centralized finance is real, and the regulators are watching.
This is not financial advice. Always Do Your Own Research.
#CryptoFraud #ExchangeRisk #SelfCustody #BTC
⚖️
Another day, another centralized exchange betrayal. The Tokenize Xchange fallout is brutal. Users are suing the founder for $60.5M after the platform collapsed, owing customers a staggering $266.3M while holding only $2.6M in assets. This is why self-custody is non-negotiable. If you do not hold your private keys, you do not own your $BTC or your $ETH. The systemic risk in centralized finance is real, and the regulators are watching.
This is not financial advice. Always Do Your Own Research.
#CryptoFraud #ExchangeRisk #SelfCustody #BTC
⚖️
Do Kwon Fights for a 5-Year Sentence Amid Massive Fraud Case
Do Kwon, co-founder of the collapsed Terraform Labs and one of the most controversial figures in the crypto world, has formally asked a U.S. judge to limit his prison sentence to five years. He argues that such a sentence would be “more than sufficient” for the fraud tied to the implosion of the Terra ecosystem — a collapse that wiped nearly $40 billion from the market in 2022.
The request follows his August guilty plea to conspiracy and wire-fraud charges, allowing him to avoid a full trial after being extradited from Montenegro, where he had been arrested for using falsified travel documents.
Defense Team: Three Years Behind Bars Is Enough — Montenegro Conditions Were Severe
In a filing dated November 26, Kwon’s legal team argues that while U.S. prosecutors agreed not to seek more than 12 years under the plea agreement, even that exceeds what is necessary for justice.
They highlight that:
Kwon has already spent nearly three years in prison,more than half of that time in harsh conditions in Montenegro,and has agreed to forfeit over $19 million as well as additional assets.
The defense also stressed that Kwon is simultaneously facing similar charges in South Korea, where prosecutors are seeking a staggering 40-year sentence, and that this should be taken into account.
Sentencing Scheduled for December 11 — Judge Engelmayer Will Decide
The final sentence is expected on December 11, to be delivered by U.S. District Judge Paul Adam Engelmayer of the Southern District of New York. By then, the U.S. government must submit its own sentencing recommendation — which analysts expect to be significantly stricter than the five years requested by Kwon’s team.
After pleading guilty, Kwon read a prepared statement in which he admitted he “voluntarily worked with others” to deceive Terraform Labs customers.
He added:
“What I did was wrong, and I want to apologize. I accept full responsibility.”
The TerraUSD Collapse Triggered a Market Shockwave
The breakdown of Terraform’s algorithmic stablecoin TerraUSD in spring 2022 remains one of the most destructive events in crypto history. It set off a cascade of liquidations, collapsed the value of LUNA, and helped create the conditions that ultimately contributed to the fall of FTX.
U.S. authorities have described TerraUSD as one of the largest crypto frauds ever uncovered. Because of this, federal prosecutors have previously stated they would seek the maximum possible sentence of 12 years, even within a plea agreement.
Under U.S. sentencing rules, Kwon technically faces:
up to 5 years for conspiracy,up to 20 years for wire fraud.
Nine Charges, a Plea Deal, and the Option to Serve Part of His Sentence in South Korea
Kwon originally faced nine separate charges. The agreement allows him to serve half his sentence in the U.S. and the other half in South Korea — but only if he complies fully with the plea terms and qualifies for prisoner transfer.
Meanwhile, the U.S. Securities and Exchange Commission (SEC) won its civil case against Terraform Labs and Kwon in 2024. After a two-week trial in New York, a jury concluded that both defendants had intentionally misled investors.
Analysts note that this civil verdict is a bad omen for Kwon’s chances of securing a significantly reduced sentence in the criminal case.
#DoKwon , #CryptoRegulation , #CryptoFraud , #CryptoNews , #Terra
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
The request follows his August guilty plea to conspiracy and wire-fraud charges, allowing him to avoid a full trial after being extradited from Montenegro, where he had been arrested for using falsified travel documents.
Defense Team: Three Years Behind Bars Is Enough — Montenegro Conditions Were Severe
In a filing dated November 26, Kwon’s legal team argues that while U.S. prosecutors agreed not to seek more than 12 years under the plea agreement, even that exceeds what is necessary for justice.
They highlight that:
Kwon has already spent nearly three years in prison,more than half of that time in harsh conditions in Montenegro,and has agreed to forfeit over $19 million as well as additional assets.
The defense also stressed that Kwon is simultaneously facing similar charges in South Korea, where prosecutors are seeking a staggering 40-year sentence, and that this should be taken into account.
Sentencing Scheduled for December 11 — Judge Engelmayer Will Decide
The final sentence is expected on December 11, to be delivered by U.S. District Judge Paul Adam Engelmayer of the Southern District of New York. By then, the U.S. government must submit its own sentencing recommendation — which analysts expect to be significantly stricter than the five years requested by Kwon’s team.
After pleading guilty, Kwon read a prepared statement in which he admitted he “voluntarily worked with others” to deceive Terraform Labs customers.
He added:
“What I did was wrong, and I want to apologize. I accept full responsibility.”
The TerraUSD Collapse Triggered a Market Shockwave
The breakdown of Terraform’s algorithmic stablecoin TerraUSD in spring 2022 remains one of the most destructive events in crypto history. It set off a cascade of liquidations, collapsed the value of LUNA, and helped create the conditions that ultimately contributed to the fall of FTX.
U.S. authorities have described TerraUSD as one of the largest crypto frauds ever uncovered. Because of this, federal prosecutors have previously stated they would seek the maximum possible sentence of 12 years, even within a plea agreement.
Under U.S. sentencing rules, Kwon technically faces:
up to 5 years for conspiracy,up to 20 years for wire fraud.
Nine Charges, a Plea Deal, and the Option to Serve Part of His Sentence in South Korea
Kwon originally faced nine separate charges. The agreement allows him to serve half his sentence in the U.S. and the other half in South Korea — but only if he complies fully with the plea terms and qualifies for prisoner transfer.
Meanwhile, the U.S. Securities and Exchange Commission (SEC) won its civil case against Terraform Labs and Kwon in 2024. After a two-week trial in New York, a jury concluded that both defendants had intentionally misled investors.
Analysts note that this civil verdict is a bad omen for Kwon’s chances of securing a significantly reduced sentence in the criminal case.
#DoKwon , #CryptoRegulation , #CryptoFraud , #CryptoNews , #Terra
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
⚖️ DO KWON SPEAKS OUT
Terraform Labs co-founder Do Kwon requests his sentence in the $40B TerraUSD fraud case be capped at **5 years**.
The case remains one of the largest crypto fraud trials in history.
#DoKwon #TerraUSD #CryptoNews #CryptoFraud #Blockchain
Terraform Labs co-founder Do Kwon requests his sentence in the $40B TerraUSD fraud case be capped at **5 years**.
The case remains one of the largest crypto fraud trials in history.
#DoKwon #TerraUSD #CryptoNews #CryptoFraud #Blockchain
Protecting Americans from Digital Asset Fraud: A Ticking Time Bomb
The digital asset boom has unleashed a Wild West of opportunity—and danger. Cryptocurrencies, NFTs, and tokenized dreams promise riches, but beneath the hype lurks a cesspool of fraud draining Americans dry. In 2024 alone, the FTC reported over $2.5 billion lost to crypto scams, a 300% spike from two years prior. This isn’t a glitch; it’s an explosion of exploitation, and the U.S. government must ignite a counterattack—now.
Scammers aren’t just hacking wallets; they’re masterminding Ponzi schemes, rug pulls, and fake ICOs with surgical precision. Take the “Hyperledger Token” scam—$50 million vanished overnight after a slick X campaign hooked desperate investors. Posts bragged “10x returns in 30 days,” linking to polished sites that evaporated post-heist. I dug into the X profiles pushing this garbage—bots and bought influencers, every one. The links? Dead ends hosted on shady offshore servers. This is the norm, not the exception.
Victims aren’t just tech bros. Retirees, small business owners, even teachers are losing life savings to these digital bandits. The SEC’s cracking down, sure—$1.7 billion in penalties last year—but it’s a Band-Aid on a gunshot wound. Fraudsters adapt faster than regulators can type. Web searches reveal X posts warning of scams after the damage is done, while crooks pivot to new cons daily.
We need a detonation of action: real-time monitoring of blockchain transactions, mandatory KYC for crypto platforms, and an AI-driven task force to sniff out scams before they blow up. Education’s key—teach Americans to spot red flags like “guaranteed returns” or sketchy X hype. Congress must stop debating and start legislating. The clock’s ticking, and every delay lets another fraud bomb drop.
Protecting Americans isn’t optional—it’s urgent. Digital assets can innovate, but not at the cost of our security. #CryptoFraud #ProtectAmericans #DigitalJustice #MarketRebound #TrumpCongressSpeech
The digital asset boom has unleashed a Wild West of opportunity—and danger. Cryptocurrencies, NFTs, and tokenized dreams promise riches, but beneath the hype lurks a cesspool of fraud draining Americans dry. In 2024 alone, the FTC reported over $2.5 billion lost to crypto scams, a 300% spike from two years prior. This isn’t a glitch; it’s an explosion of exploitation, and the U.S. government must ignite a counterattack—now.
Scammers aren’t just hacking wallets; they’re masterminding Ponzi schemes, rug pulls, and fake ICOs with surgical precision. Take the “Hyperledger Token” scam—$50 million vanished overnight after a slick X campaign hooked desperate investors. Posts bragged “10x returns in 30 days,” linking to polished sites that evaporated post-heist. I dug into the X profiles pushing this garbage—bots and bought influencers, every one. The links? Dead ends hosted on shady offshore servers. This is the norm, not the exception.
Victims aren’t just tech bros. Retirees, small business owners, even teachers are losing life savings to these digital bandits. The SEC’s cracking down, sure—$1.7 billion in penalties last year—but it’s a Band-Aid on a gunshot wound. Fraudsters adapt faster than regulators can type. Web searches reveal X posts warning of scams after the damage is done, while crooks pivot to new cons daily.
We need a detonation of action: real-time monitoring of blockchain transactions, mandatory KYC for crypto platforms, and an AI-driven task force to sniff out scams before they blow up. Education’s key—teach Americans to spot red flags like “guaranteed returns” or sketchy X hype. Congress must stop debating and start legislating. The clock’s ticking, and every delay lets another fraud bomb drop.
Protecting Americans isn’t optional—it’s urgent. Digital assets can innovate, but not at the cost of our security. #CryptoFraud #ProtectAmericans #DigitalJustice #MarketRebound #TrumpCongressSpeech
Do Kwon Extradited to the U.S. Following Terra Luna Collapse
Do Kwon, the co-founder and former CEO of Terraform Labs, has officially been extradited to the United States to face criminal charges tied to the catastrophic collapse of the Terra Luna ecosystem. The extradition, facilitated by Montenegrin authorities in collaboration with Interpol, was confirmed by Montenegro’s Prime Minister Milojko Spajić on December 31. In his statement on X, Spajić highlighted Montenegro's dedication to fostering innovation while upholding international justice and maintaining zero tolerance for financial fraud.
This extradition marks a significant turn of events following months of deliberations and legal disputes. After serving a four-month sentence in Montenegro for using counterfeit travel documents, Kwon’s fate was decided by Montenegrin Justice Minister Bojan Božović, who approved his transfer to the U.S. on December 27. This decision came despite a competing request from South Korea, where Kwon also faces legal charges. Appeals from Kwon’s defense team delayed the process, but the final ruling underscored Montenegro’s commitment to the rule of law and international cooperation.
The legal challenges against Kwon in the U.S. are substantial. In March 2023, the U.S. Department of Justice charged him with eight serious offenses, including commodities and wire fraud, as well as conspiracy to manipulate markets. Additionally, the Securities and Exchange Commission (SEC) previously secured a court ruling in April holding Kwon and Terraform Labs liable for fraud. The resulting settlement included approximately $4.5 billion in penalties and disgorgement. While it remains unclear when Kwon will appear in a U.S. court, his extradition brings him closer to facing accountability for his actions.
The collapse of the Terra Luna ecosystem in May 2022 wiped out $50 billion in market value within days, causing widespread financial losses for investors worldwide
#DoKwonExtradition
#TerraLunaCollapse
#CryptocurrencyNews
#BlockchainRegulation
#CryptoFraud
Do Kwon, the co-founder and former CEO of Terraform Labs, has officially been extradited to the United States to face criminal charges tied to the catastrophic collapse of the Terra Luna ecosystem. The extradition, facilitated by Montenegrin authorities in collaboration with Interpol, was confirmed by Montenegro’s Prime Minister Milojko Spajić on December 31. In his statement on X, Spajić highlighted Montenegro's dedication to fostering innovation while upholding international justice and maintaining zero tolerance for financial fraud.
This extradition marks a significant turn of events following months of deliberations and legal disputes. After serving a four-month sentence in Montenegro for using counterfeit travel documents, Kwon’s fate was decided by Montenegrin Justice Minister Bojan Božović, who approved his transfer to the U.S. on December 27. This decision came despite a competing request from South Korea, where Kwon also faces legal charges. Appeals from Kwon’s defense team delayed the process, but the final ruling underscored Montenegro’s commitment to the rule of law and international cooperation.
The legal challenges against Kwon in the U.S. are substantial. In March 2023, the U.S. Department of Justice charged him with eight serious offenses, including commodities and wire fraud, as well as conspiracy to manipulate markets. Additionally, the Securities and Exchange Commission (SEC) previously secured a court ruling in April holding Kwon and Terraform Labs liable for fraud. The resulting settlement included approximately $4.5 billion in penalties and disgorgement. While it remains unclear when Kwon will appear in a U.S. court, his extradition brings him closer to facing accountability for his actions.
The collapse of the Terra Luna ecosystem in May 2022 wiped out $50 billion in market value within days, causing widespread financial losses for investors worldwide
#DoKwonExtradition
#TerraLunaCollapse
#CryptocurrencyNews
#BlockchainRegulation
#CryptoFraud
Canadian crypto platform #ezBtc and its founder David Smillie defrauded customers, misappropriating C$13M ($9.5M) for gambling, per BCSC.
Over 935 $BTC and 159 $ETH were diverted for personal use.
#cryptofraud #Fraud #Fraud_alert #TrendingTopic
Over 935 $BTC and 159 $ETH were diverted for personal use.
#cryptofraud #Fraud #Fraud_alert #TrendingTopic
🚨 Breaking News: $23M Crypto Fraud Busted by DOJ! �
One of the most notorious names in the crypto world has just been brought to justice! 🕵️♂️ Gotbit Consulting, a controversial market maker, has pleaded guilty to orchestrating a massive fraud scheme involving wash trades and fake volume to artificially inflate token prices. 💸
The mastermind behind this operation even developed custom software to execute these deceptive practices seamlessly. The outcome? Years of manipulation, millions of dollars moved, and countless investors misled. 😱
This marks the THIRD major market maker to be taken down by the DOJ in their ongoing crackdown on crypto fraud. And guess what? More are likely on the chopping block! ⚖️
So, what does this mean for the crypto world? 🌍
Is this a stern warning to all "volume support" players still operating in the shadows? 🚩
Or is this the dawn of a new era of transparency and accountability in the crypto space? 🌟
Could this be the rebirth of crypto's credibility on a global scale? 🌐 Only time will tell, but one thing's for sure: the DOJ isn't playing games anymore. 🎮
#CryptoNews #DOJCrackdown #CryptoFraud #TransparencyMatters #BlockchainRevolution 🚀🔒
Stay tuned, folks. The crypto world is evolving, and this might just be the start of something big! 💥✨
$BTC
$ETH
$XRP
One of the most notorious names in the crypto world has just been brought to justice! 🕵️♂️ Gotbit Consulting, a controversial market maker, has pleaded guilty to orchestrating a massive fraud scheme involving wash trades and fake volume to artificially inflate token prices. 💸
The mastermind behind this operation even developed custom software to execute these deceptive practices seamlessly. The outcome? Years of manipulation, millions of dollars moved, and countless investors misled. 😱
This marks the THIRD major market maker to be taken down by the DOJ in their ongoing crackdown on crypto fraud. And guess what? More are likely on the chopping block! ⚖️
So, what does this mean for the crypto world? 🌍
Is this a stern warning to all "volume support" players still operating in the shadows? 🚩
Or is this the dawn of a new era of transparency and accountability in the crypto space? 🌟
Could this be the rebirth of crypto's credibility on a global scale? 🌐 Only time will tell, but one thing's for sure: the DOJ isn't playing games anymore. 🎮
#CryptoNews #DOJCrackdown #CryptoFraud #TransparencyMatters #BlockchainRevolution 🚀🔒
Stay tuned, folks. The crypto world is evolving, and this might just be the start of something big! 💥✨
$BTC
$ETH
$XRP
Hong Kong Fraud Group Using Deepfakes Exposed – Pretended to Be Wealthy Single Women
Seized Notebooks Revealed Sophisticated Scams
Hong Kong police uncovered a sophisticated fraud scheme that used artificial intelligence to deceive victims. The investigation led to the seizure of over HK$34 million (approximately USD 3.37 million). Notebooks confiscated by law enforcement revealed the criminals' methods, including the use of deepfake technology to appear more convincing.
How the Fraudsters Lured Their Victims
The fraudsters pretended to be wealthy single women, crafting stories about interests such as learning Japanese, playing golf, or tasting luxury wines worth over HK$100,000 (USD 12,850) per bottle. These methods were documented in the notebooks seized during the operation.
The investigation resulted in the arrest of 31 individuals connected to a criminal syndicate. This group used artificial intelligence to create realistic images of attractive women, which were then used to lure victims into romantic and investment scams.
The Problem of Deepfake Scams
Byron Boston, a former police officer and CEO of Crypto Track, warned that the combination of deepfake technology and social engineering presents significant challenges for investigators and law enforcement. AI-generated images make criminals more convincing and enable them to execute more complex scams.
Boston highlighted an incident from November 2022, where a fake video impersonating FTX founder Sam Bankman-Fried was used in a phishing attack targeting FTX users. This incident demonstrates how deepfake technologies can be exploited to steal cryptocurrency assets from victims.
Scams Targeting Young People
Confiscated materials revealed that the fraudsters specifically targeted young people seeking quick earnings. Victims were often convinced they were communicating with ideal women from Taiwan, Singapore, and Malaysia.
Challenges in Combating These Crimes
Boston emphasized that effective collaboration and swift action are key to fighting these sophisticated scams. However, he noted that many local law enforcement agencies, particularly in the U.S., lack the necessary tools and expertise to track stolen cryptocurrency or cooperate with international exchanges.
Criminals leveraging technologies like deepfake and social engineering remain a significant challenge for security forces worldwide.
#Deepfake , #CryptoFraud , #CryptoScams , #cybercrime , #CryptoNewss
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
Hong Kong police uncovered a sophisticated fraud scheme that used artificial intelligence to deceive victims. The investigation led to the seizure of over HK$34 million (approximately USD 3.37 million). Notebooks confiscated by law enforcement revealed the criminals' methods, including the use of deepfake technology to appear more convincing.
How the Fraudsters Lured Their Victims
The fraudsters pretended to be wealthy single women, crafting stories about interests such as learning Japanese, playing golf, or tasting luxury wines worth over HK$100,000 (USD 12,850) per bottle. These methods were documented in the notebooks seized during the operation.
The investigation resulted in the arrest of 31 individuals connected to a criminal syndicate. This group used artificial intelligence to create realistic images of attractive women, which were then used to lure victims into romantic and investment scams.
The Problem of Deepfake Scams
Byron Boston, a former police officer and CEO of Crypto Track, warned that the combination of deepfake technology and social engineering presents significant challenges for investigators and law enforcement. AI-generated images make criminals more convincing and enable them to execute more complex scams.
Boston highlighted an incident from November 2022, where a fake video impersonating FTX founder Sam Bankman-Fried was used in a phishing attack targeting FTX users. This incident demonstrates how deepfake technologies can be exploited to steal cryptocurrency assets from victims.
Scams Targeting Young People
Confiscated materials revealed that the fraudsters specifically targeted young people seeking quick earnings. Victims were often convinced they were communicating with ideal women from Taiwan, Singapore, and Malaysia.
Challenges in Combating These Crimes
Boston emphasized that effective collaboration and swift action are key to fighting these sophisticated scams. However, he noted that many local law enforcement agencies, particularly in the U.S., lack the necessary tools and expertise to track stolen cryptocurrency or cooperate with international exchanges.
Criminals leveraging technologies like deepfake and social engineering remain a significant challenge for security forces worldwide.
#Deepfake , #CryptoFraud , #CryptoScams , #cybercrime , #CryptoNewss
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
🚨 **Breaking News**: SEC charges Diana Mae Fernandez with fraud for promising cryptocurrency investments with guaranteed returns and embezzling $364,000 from at least 20 investors 🕵️♂️💼 #cryptofraud 🔒🚫
🚨 BREAKING: #SEC cracks down on $1.7B #cryptofraud that operated under several names, such as HyperFund, HyperVerse and HyperTech.
Allegedly hiring an actor CEO, they promised high returns and planned Hong Kong Stock Exchange listing. Funds were used for luxury purchases.
#Breaking #CryptoNews🔒📰🚫
Allegedly hiring an actor CEO, they promised high returns and planned Hong Kong Stock Exchange listing. Funds were used for luxury purchases.
#Breaking #CryptoNews🔒📰🚫
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🚨 Scammers are attacking Coinbase! 💸🔥
In 2 months, users lost $65,000,000 due to clever social engineering schemes! 😱
💀 How do scammers operate?
🔹 They clone the Coinbase website 🕵️♂️
🔹 They send alarming emails about "hacking" accounts 📩
🔹 They convince you to transfer money to a "safe account" 💰➡️🕳️
👉 How to avoid falling for it?
✅ Don't click on suspicious links 🛑
✅ Check the website URL before logging in 🔍
✅ Think twice before transferring funds 🤔
Protect your crypto dollars! 💎💪 Stay one step ahead of scammers!
#Coinbase #CryptoScam #Security #CryptoFraud #StaySafe #Bitcoin
In 2 months, users lost $65,000,000 due to clever social engineering schemes! 😱
💀 How do scammers operate?
🔹 They clone the Coinbase website 🕵️♂️
🔹 They send alarming emails about "hacking" accounts 📩
🔹 They convince you to transfer money to a "safe account" 💰➡️🕳️
👉 How to avoid falling for it?
✅ Don't click on suspicious links 🛑
✅ Check the website URL before logging in 🔍
✅ Think twice before transferring funds 🤔
Protect your crypto dollars! 💎💪 Stay one step ahead of scammers!
#Coinbase #CryptoScam #Security #CryptoFraud #StaySafe #Bitcoin
Private Jets, Political Donations, and Billion-Dollar Losses: Seized from Sam Bankman-Fried
Federal Court Confirms the Extent of SBF’s Forfeited Assets
The U.S. government has officially finalized the confiscation of Sam Bankman-Fried's (SBF) assets, the former CEO of the collapsed FTX exchange. Among the most notable items on the nearly $1 billion forfeiture list are $606 million from the sale of Robinhood shares and two private jets.
Court documents detail dozens of pages of assets that SBF owned before his conviction for fraud, including vast cryptocurrency holdings, bank accounts, investments, and political contributions.
💰 The Largest Asset: $606 Million in Robinhood Shares
The most valuable forfeited asset was $606 million from the sale of Robinhood shares, held by Emergent Fidelity Technologies, one of SBF’s firms.
Other seized financial assets include:
✅ $119 million in Tether (USDT) on Binance for Alameda Research
✅ $21 million in Marex, held for Emergent Fidelity Technologies
✅ $50 million in Moonstone Bank, designated for FTX Digital Markets
✅ $101 million in Silvergate, also for FTX Digital Markets
✅ $7 million in Flagstar Bank, held under SBF and another individual
✈️ Two Private Jets Among the Seized Assets
Luxury items seized in the case include two private jets:
2009 Bombardier Global 50002006 Embraer Legacy
These jets were part of Bankman-Fried’s extravagant lifestyle, despite his public image as a modest billionaire.
🔗 Alameda’s Crypto Portfolio – Millions in Digital Assets
Alongside traditional assets, the government seized a significant cryptocurrency portfolio belonging to Alameda Research, the trading firm co-founded by SBF.
📌 According to records, assets on Binance included:
$56 million in XRP (Ripple)$3.6 million in TRX (Tron)$3.4 million in ADA (Cardano)$2.3 million in BTC (Bitcoin)Numerous other smaller cryptocurrency holdings
💸 Political Donations Totaling Hundreds of Millions
Court filings also exposed a vast network of political contributions, with over 250 individual donations.
🔹 FTX and SBF played a major role in financing U.S. politics, with one in three members of Congress reportedly receiving funds from Bankman-Fried or other FTX executives.
🔹 Donations were distributed among various campaigns and organizations, spanning both federal and state-level political entities.
🔹 Documents suggest that some FTX executives made donations on behalf of SBF, possibly to bypass political funding limits.
⚖️ FTX Begins First Payouts to Creditors
Alongside the asset forfeiture ruling, FTX has begun its first round of repayments to creditors.
✅ A total of $1.2 billion has been distributed to those with smaller claims.
✅ These creditors received approximately 119% of their original holdings, based on the value they had at the time of FTX’s collapse in 2022.
✅ However, they missed out on the significant crypto market recovery that could have yielded even greater returns.
🔮 What’s Next?
🔹 More rounds of FTX creditor repayments are expected – the key question remains whether all victims will receive fair compensation.
🔹 Investigations into SBF’s political funding could lead to further legal consequences.
🔹 The fate of luxury assets, including the private jets, will likely be decided through government auctions.
👉 What do you think about the fate of Sam Bankman-Fried’s seized assets? Should the government redistribute the funds to affected investors? Share your thoughts! ⚖️🚀
#SamBankman-Fried , #FTX , #CryptoNewss , #CryptoFraud , #FTXScamAlert
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
The U.S. government has officially finalized the confiscation of Sam Bankman-Fried's (SBF) assets, the former CEO of the collapsed FTX exchange. Among the most notable items on the nearly $1 billion forfeiture list are $606 million from the sale of Robinhood shares and two private jets.
Court documents detail dozens of pages of assets that SBF owned before his conviction for fraud, including vast cryptocurrency holdings, bank accounts, investments, and political contributions.
💰 The Largest Asset: $606 Million in Robinhood Shares
The most valuable forfeited asset was $606 million from the sale of Robinhood shares, held by Emergent Fidelity Technologies, one of SBF’s firms.
Other seized financial assets include:
✅ $119 million in Tether (USDT) on Binance for Alameda Research
✅ $21 million in Marex, held for Emergent Fidelity Technologies
✅ $50 million in Moonstone Bank, designated for FTX Digital Markets
✅ $101 million in Silvergate, also for FTX Digital Markets
✅ $7 million in Flagstar Bank, held under SBF and another individual
✈️ Two Private Jets Among the Seized Assets
Luxury items seized in the case include two private jets:
2009 Bombardier Global 50002006 Embraer Legacy
These jets were part of Bankman-Fried’s extravagant lifestyle, despite his public image as a modest billionaire.
🔗 Alameda’s Crypto Portfolio – Millions in Digital Assets
Alongside traditional assets, the government seized a significant cryptocurrency portfolio belonging to Alameda Research, the trading firm co-founded by SBF.
📌 According to records, assets on Binance included:
$56 million in XRP (Ripple)$3.6 million in TRX (Tron)$3.4 million in ADA (Cardano)$2.3 million in BTC (Bitcoin)Numerous other smaller cryptocurrency holdings
💸 Political Donations Totaling Hundreds of Millions
Court filings also exposed a vast network of political contributions, with over 250 individual donations.
🔹 FTX and SBF played a major role in financing U.S. politics, with one in three members of Congress reportedly receiving funds from Bankman-Fried or other FTX executives.
🔹 Donations were distributed among various campaigns and organizations, spanning both federal and state-level political entities.
🔹 Documents suggest that some FTX executives made donations on behalf of SBF, possibly to bypass political funding limits.
⚖️ FTX Begins First Payouts to Creditors
Alongside the asset forfeiture ruling, FTX has begun its first round of repayments to creditors.
✅ A total of $1.2 billion has been distributed to those with smaller claims.
✅ These creditors received approximately 119% of their original holdings, based on the value they had at the time of FTX’s collapse in 2022.
✅ However, they missed out on the significant crypto market recovery that could have yielded even greater returns.
🔮 What’s Next?
🔹 More rounds of FTX creditor repayments are expected – the key question remains whether all victims will receive fair compensation.
🔹 Investigations into SBF’s political funding could lead to further legal consequences.
🔹 The fate of luxury assets, including the private jets, will likely be decided through government auctions.
👉 What do you think about the fate of Sam Bankman-Fried’s seized assets? Should the government redistribute the funds to affected investors? Share your thoughts! ⚖️🚀
#SamBankman-Fried , #FTX , #CryptoNewss , #CryptoFraud , #FTXScamAlert
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
Celsius Network Founder Faces 20-Year Prison Sentence for Fraud ---
Date: May 7, 2025
Location: New York, USA
Alexander Mashinsky, the founder and former CEO of the now-defunct cryptocurrency lending platform Celsius Network, is facing a potential 20-year prison sentence. Federal prosecutors have accused him of orchestrating a deliberate and calculated fraud scheme that led to nearly $7 billion in customer losses. Mashinsky pleaded guilty in December 2024 to commodities fraud and securities fraud charges, admitting to manipulating the price of Celsius's proprietary token, CEL, and misleading investors about the company's financial health. He profited approximately $48 million by selling his CEL holdings at inflated prices before the company's collapse in July 2022.
Defense attorneys are seeking a more lenient sentence of no more than 366 days, arguing that Mashinsky's actions were not predatory and attributing the company's downfall to a broader market downturn. Sentencing is scheduled for May 8, 2025, in a Manhattan federal court.
---
*Alexander Mashinsky, founder and former CEO of Celsius Network, leaves Manhattan federal court on July 13, 2023. *
---
For more details, you can read the full article here:
🔗 Prosecutors seek 20-year prison term for founder of failed crypto platform Celsius
#celsiusNetwork
Location: New York, USA
Alexander Mashinsky, the founder and former CEO of the now-defunct cryptocurrency lending platform Celsius Network, is facing a potential 20-year prison sentence. Federal prosecutors have accused him of orchestrating a deliberate and calculated fraud scheme that led to nearly $7 billion in customer losses. Mashinsky pleaded guilty in December 2024 to commodities fraud and securities fraud charges, admitting to manipulating the price of Celsius's proprietary token, CEL, and misleading investors about the company's financial health. He profited approximately $48 million by selling his CEL holdings at inflated prices before the company's collapse in July 2022.
Defense attorneys are seeking a more lenient sentence of no more than 366 days, arguing that Mashinsky's actions were not predatory and attributing the company's downfall to a broader market downturn. Sentencing is scheduled for May 8, 2025, in a Manhattan federal court.
---
*Alexander Mashinsky, founder and former CEO of Celsius Network, leaves Manhattan federal court on July 13, 2023. *
---
For more details, you can read the full article here:
🔗 Prosecutors seek 20-year prison term for founder of failed crypto platform Celsius
#celsiusNetwork
Nigeria: EFCC Arrests 792 Suspects in Cryptocurrency Fraud Scheme
Commission Uncovers Massive Cryptocurrency Scam
Nigeria’s Economic and Financial Crimes Commission (EFCC) conducted a raid resulting in the arrest of 792 suspects involved in schemes known as crypto romance scams. The fraudsters convinced victims to invest in fake cryptocurrency projects, leading to significant financial losses.
Links to International Groups
EFCC spokesperson Wilson Uwujaren revealed that among those arrested were 148 Chinese nationals and 40 Filipino citizens. The scammers operated from a luxury building in Lagos, Nigeria’s commercial hub. Most of the victims were citizens of the United States and Europe.
During the raid, agents seized computers, mobile phones, and vehicles. Uwujaren stated that Nigerian fraudsters were recruited by international groups to target victims online using phishing techniques. Once the victims’ trust was gained, their information was handed over to foreign counterparts, who carried out the fraud.
Collaboration with International Partners
The EFCC announced it is working with international partners to identify potential links to organized crime. This collaboration aims to strengthen actions against similar fraudulent activities.
Another Case: Nigerian Scammer Defrauds Australians of $5 Million
The arrests follow a separate case involving Osang Otukpa, who allegedly defrauded 139 Australians of $5.04 million (8 million AUD) through a fraudulent cryptocurrency platform called Liquid Asset Group.
Otukpa reportedly used five different aliases and lured victims through social media. EFCC agents apprehended Otukpa on December 6, shortly after he landed at Murtala Mohammed International Airport in Lagos. According to reports, he will be charged once the investigation is complete.
Conclusion
The EFCC continues to intensify its efforts to combat cryptocurrency fraud, working closely with global partners to curb these illegal activities. The crackdown on 792 suspects and cases like Otukpa’s highlight Nigeria’s strengthened fight against financial crimes.
#hackers , #Cryptoscam , #cryptofraud , #CryptoSecurity , #CryptoNewss
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
Nigeria’s Economic and Financial Crimes Commission (EFCC) conducted a raid resulting in the arrest of 792 suspects involved in schemes known as crypto romance scams. The fraudsters convinced victims to invest in fake cryptocurrency projects, leading to significant financial losses.
Links to International Groups
EFCC spokesperson Wilson Uwujaren revealed that among those arrested were 148 Chinese nationals and 40 Filipino citizens. The scammers operated from a luxury building in Lagos, Nigeria’s commercial hub. Most of the victims were citizens of the United States and Europe.
During the raid, agents seized computers, mobile phones, and vehicles. Uwujaren stated that Nigerian fraudsters were recruited by international groups to target victims online using phishing techniques. Once the victims’ trust was gained, their information was handed over to foreign counterparts, who carried out the fraud.
Collaboration with International Partners
The EFCC announced it is working with international partners to identify potential links to organized crime. This collaboration aims to strengthen actions against similar fraudulent activities.
Another Case: Nigerian Scammer Defrauds Australians of $5 Million
The arrests follow a separate case involving Osang Otukpa, who allegedly defrauded 139 Australians of $5.04 million (8 million AUD) through a fraudulent cryptocurrency platform called Liquid Asset Group.
Otukpa reportedly used five different aliases and lured victims through social media. EFCC agents apprehended Otukpa on December 6, shortly after he landed at Murtala Mohammed International Airport in Lagos. According to reports, he will be charged once the investigation is complete.
Conclusion
The EFCC continues to intensify its efforts to combat cryptocurrency fraud, working closely with global partners to curb these illegal activities. The crackdown on 792 suspects and cases like Otukpa’s highlight Nigeria’s strengthened fight against financial crimes.
#hackers , #Cryptoscam , #cryptofraud , #CryptoSecurity , #CryptoNewss
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
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