A group of Austrian criminals pulled off a massive crypto scam, pocketing millions of dollars while their victims lost everything. They used the stolen money to live a life of luxury, buying fancy cars, a shark tank, a villa, and even private jets. They even threw lavish parties at exclusive clubs.
How the Scam Worked
The scammers promised investors huge returns on their investments in the EXW Wallet, EXW crypto tokens, and real estate projects. They claimed investors could earn between 0.1% and 0.32% daily, which was too good to be true.
The scheme started in 2019 and began to crumble in 2020. Eventually, authorities caught on and arrested eight people. Five of them were recently convicted of money laundering, running a pyramid scheme, and fraud.
Two of the scammers got five years in prison without parole, while two others got 30 months. One person received an 18-month sentence, and five were acquitted.
A Complex Investigation
The investigation was complicated because the scammers operated in multiple countries, including the UAE, which doesn’t have extradition treaties with Austria. They used encrypted messaging apps and even hired experts to help them cover their tracks. They even transported money in plastic bags to Austria.
Prosecutors say the scammers never intended to invest the money, they just wanted to lure in as many victims as possible.
The defense lawyers argued that some of the defendants lost control as the scam grew too big.
More Charges Coming
The scammers are also facing charges in a separate case involving a cannabis-related fraud. They are accused of stealing $17.2 million from over 17,000 people.
