Five men have admitted guilt in a massive cryptocurrency scam that defrauded Americans out of $36.9 million. The Department of Justice (DOJ) announced the guilty pleas, detailing an elaborate scheme run by an international criminal network operating out of Cambodia.
How the Scam Worked
The group targeted Americans through various channels, including text messages, phone calls, social media, and even dating apps. They built trust with victims before convincing them to invest in fake cryptocurrency projects. Victims were falsely led to believe their investments were growing, while in reality, the money was siphoned off.
The Money Trail
The stolen $36.9 million was funneled through a complex network. The funds were deposited into a Bahamian bank account under the name “Axis Digital Limited” and then transferred to cryptocurrency wallets controlled by individuals in Cambodia.
Guilty Pleas and Ongoing Investigation
Along with the five men who have pleaded guilty, eight other individuals involved in the conspiracy have also confessed. The DOJ’s investigation is ongoing.
A Word of Caution
Investing in cryptocurrency carries significant risk. Always do your research and be wary of unsolicited investment opportunities.
