Europol Dismantles Crypto Crime Network in Cyprus

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As a researcher with a background in cryptocurrency and blockchain technology, I find the news of this cryptocurrency crime gang from Cyprus deeply concerning. Having closely followed the developments in the industry, I’ve seen similar scams emerge time and again, preying on unsuspecting investors.

A significant cryptocurrency criminal organization based in Cyprus has been dismantled by the authorities. This group had been deceiving investors by falsely advertising the creation of a nonexistent cryptocurrency, mimicking recent scams in the industry.

From December 2017 to February 2018, criminals established a deceptive online trading business, peddling a bogus new cryptocurrency. This scheme was orchestrated during the initial coin offering (ICO) period and involved at least 10 million tokens, with payments accepted in Bitcoin and Ethereum. They dishonestly claimed to possess a unique algorithm for enhancing their software, thereby misleading investors into believing this venture held promise.

Europol kept the identities of its team members and the manual for their algorithm a secret from the public, ensuring both the method and its users remained concealed. In February 2018, following the accumulation of funds, the scammers deactivated all related social media accounts and shut down their company website. The exact number of people who suffered financial losses due to these fraudulent enterprises remains undisclosed, as investigations continue. This joint operation between Austria, Cyprus, and the Czech Republic resulted in the arrest of six Austrians and the seizure of 500,000 euros in cryptocurrencies, 250,000 euros in cash, and luxury assets.

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2024-05-11 05:56