This week, Eurojust announced the outcomes of a serious worldwide operation dismantling a transnational prison community behind one of many largest cryptocurrency funding fraud schemes uncovered to this point. The coordinated motion, performed throughout France, Belgium, Cyprus, Germany, and Spain, led to 9 arrests, 60 searches, and the seizure of over EUR 1.5 million in money and crypto property. Authorities estimate that the fraud community stole and laundered greater than EUR 600 million from victims all over the world.
Between 2020 and 2023, the suspects allegedly created and managed dozens of fraudulent crypto funding platforms that intently mimicked professional exchanges and buying and selling companies. Utilizing subtle advertising campaigns, pretend endorsements, and fabricated on-line evaluations, the perpetrators lured victims with guarantees of assured earnings and low-risk returns. The platforms displayed simulated buying and selling dashboards exhibiting false account progress to construct confidence amongst buyers. As soon as victims transferred funds, they have been prevented from withdrawing or requested to pay extra “taxes” or “charges,” after which communication ceased and the platforms disappeared.
Investigators decided that the stolen property have been quickly transformed into stablecoins and moved by means of advanced laundering constructions — together with over-the-counter brokers, unlicensed exchanges, and nested companies — earlier than being cashed out. These flows mirrored typologies seen in different high-volume “pig butchering” and romance-investment scams: schemes constructed on social engineering slightly than expertise exploits:
In line with TRM Labs, funding scams like these stay among the many largest and fastest-growing classes of illicit exercise within the crypto ecosystem. Since 2023, TRM has tracked greater than USD 53 billion in fraud and scams throughout the business — a determine seemingly underreported on condition that solely 15–20% of victims come ahead. Many of those scams share frequent hallmarks: social contact initiated by means of messaging apps or relationship websites, guarantees of “assured” returns, and stress to speculate shortly in platforms that can’t be independently verified.
The investigation started after complaints from victims in a number of EU member states and was coordinated by Eurojust, which established a Joint Investigation Crew (JIT) between France and Belgium.
Judicial and legislation enforcement authorities from Cyprus, Germany, and Spain later joined. In France, the operation was led by the Investigative Choose of the Paris JUNALCO Cybercrime Unit and the Gendarmerie Nationale Cyber Unit. In Belgium, it was directed by the PPO Limburg and the Federal Judicial Police Limburg. In Cyprus, the investigation was managed by the Legal professional Basic’s Workplace, the Monetary Intelligence Unit MOKAS, and the Cyprus Police. In Germany, it was led by the Public Prosecutor’s Workplace Cologne and the Cologne Legal Police. In Spain, the Prosecutor’s Workplace Barcelona, Investigative Court docket No. 5 in Vilanova i la Geltrú, the Mossos d’Esquadra Cybercrime Central Space, and the Policía Nacional oversaw native enforcement actions.
Eurojust coordinated the timing of arrests and searches, facilitated proof sharing among the many collaborating jurisdictions, and ensured mutual authorized help with non-EU nations. Over EUR 800,000 in financial institution accounts, EUR 415,000 in cryptocurrency, and EUR 300,000 in money have been seized, alongside computer systems, cellphones, and different digital infrastructure tied to the fraud.
This operation underscores the convergence of conventional fraud with digital monetary techniques — large-scale social engineering operations powered by cryptocurrency infrastructure and international laundering channels. It additionally displays a rising worldwide consensus that combating these scams requires real-time information sharing, public-private partnerships, and cross-border investigative cooperation.
