fraud

Binance Co-CEO He Yi posted on X stating, "Zhu Pan once impersonated others to scam me unsuccessfully, and also impersonated me to scam Brother Sun." Tron founder Justin Sun immediately retweeted in response, saying, "This is absolutely true, the industry should collectively resist such fraudulent behavior and bring it to justice."Meanwhile, CoinUp's official statement regarding recent market discussions about the platform and CPX stated that Zhu Pan is not the operator of the CoinUp platform and does not participate in the core operations of the platform; his identity is merely that of a project party for a project launched on the CoinUp platform. Regarding the recent significant short-term price fluctuations of CPX/USDT, CoinUp stated that it is mainly due to concentrated selling pressure from the market, and the specific reasons are currently being investigated and verified. The platform emphasized that after a comprehensive security check, it has not suffered from hacker attacks or system vulnerabilities, and user asset security and account data integrity are intact, with functions such as deposits, withdrawals, and trading operating normally.

According to The Block, New York man Noman Saleem was sentenced to 15 months in prison and three years of supervised release for impersonating a cryptocurrency influencer to commit fraud. The U.S. Attorney's Office for the District of Maryland stated that Saleem pleaded guilty to charges of wire fraud last September, admitting to creating fake Telegram accounts that mimicked well-known cryptocurrency influencers, attracting thousands to join his channel, and setting up paid "VIP sub-channels" to further profit.Prosecutors indicated that Saleem lured multiple victims into transferring digital assets to wallets under his control under the guise of providing staking rewards, but he never actually conducted any staking operations. After obtaining the funds, he cut off contact and disappeared with the money. The victims included at least one resident of Maryland, with the total amount involved exceeding $1.4 million. The U.S. government has recovered most of the defrauded funds.

According to The Block, the U.S. Department of Justice has seized a cloud computing account used by Huione Group, which is accused of laundering billions of dollars in cryptocurrency scam proceeds. Assistant Attorney General A. Tysen Duva stated that the account constituted technical support, enabling the transfer and concealment of scam funds through Southeast Asian scam centers. This action is part of "Operation Choke Point," under which the U.S. Financial Crimes Enforcement Network had previously identified Huione Group as a primary money laundering concern.The statement claims that Huione's subsidiaries are suspected of assisting criminals in transferring funds from investment scams, cyber theft, and other illegal blockchain activities, ultimately injecting them into the legitimate banking system, with a significant amount of theft reportedly linked to North Korea. Huione's "Huione Guarantee" had previously posted advertisements for stolen credit cards, identity information, malware profits, and human trafficking services on Telegram channels. Blockchain analytics firm Elliptic pointed out that Huione launched the stablecoin USDH under financial pressure last year and developed a proprietary product line that includes a decentralized exchange, wallets, and "Huione Chain" (Xone).

The Hong Kong Police Force's Financial Intelligence and Investigation Bureau, in conjunction with the Hong Kong Monetary Authority and the Hong Kong Association of Banks, jointly held an "Anti-Money Laundering Exhibition." Hong Kong Police Commissioner Raymond Siu disclosed data stating that in the first quarter of this year, Hong Kong recorded over 9,400 fraud cases, a decrease of about 60 cases compared to the same period last year, but the amount of losses exceeded HKD 1.85 billion, an increase of nearly HKD 300 million compared to the same period last year. In the first quarter of this year, about 2,000 people were arrested for fraud and money laundering-related cases, with approximately 70% being "puppet account" holders.The Hong Kong police remind that under the law, a conviction for money laundering can result in a maximum fine of HKD 5 million and imprisonment for 14 years, and the court may apply for an increased sentence depending on the circumstances.

Court documents from the U.S. Department of Justice (Eastern District of California Prosecutor's Office) show that a federal jury found Daniel Chartraw (53 years old) guilty of multiple counts of cryptocurrency and investment fraud, involving losses of nearly $1 million. Between March 2021 and February 2022, Chartraw and his accomplices controlled several companies, including Crypto-Pal LLC and TDA Global LLC.Chartraw and his agents claimed that Crypto-Pal was an online cryptocurrency trading company that guaranteed high returns with no risk. Chartraw also repeatedly claimed that TDA Global was engaged in supplying aviation fuel to airlines or operated its own cryptocurrency trading platform. Chartraw used aliases to conceal his prior criminal record and lured victims to invest in the Crypto-Pal platform with the bait of "capital protection and high returns," subsequently misappropriating all the funds for personal use.Chartraw is scheduled to be sentenced by a senior judge of the U.S. District Court on September 28, 2026. Each count against Chartraw carries a maximum sentence of 20 years in prison and a $250,000 fine.

According to Cryptopolitan, Miami cryptocurrency promoter Rodney Burton (nicknamed "Bitcoin Rodney") pleaded guilty in a U.S. federal court to a charge of conspiracy to operate an unlicensed money transfer business in connection with the $1.8 billion HyperFund cryptocurrency fraud case. The 56-year-old Burton admitted to operating entities disguised as consulting firms, which were actually unlicensed money transfer agencies, laundering funds from HyperFund investors and personally profiting at least $7.85 million. HyperFund promised investors passive returns of 0.5% to 1% daily, claiming it came from a large-scale cryptocurrency mining operation, but in reality, these mining operations did not exist.Burton was arrested in January 2024 at Miami International Airport while holding a one-way ticket to the UAE, and has been detained since being deemed a "severe flight risk" by a federal judge. The initial charges were two counts of unlicensed money transfer, which later increased to 11 counts, including conspiracy to commit telecommunications fraud and money laundering. This plea only pertains to the conspiracy charge, with a maximum sentence of five years, and sentencing is scheduled for July 23. HyperFund co-founder Xue "Sam Lee" Lee remains at large, while another promoter "Bitcoin Beautee" pleaded guilty on the same day.

According to Bloomberg, the U.S. government has seized nearly $9 million in USDT, stating that the related funds can be traced back to an organized fraud network.The U.S. Department of Justice stated that this operation targeted a scam model commonly known as "pig butchering," where the involved gang gained the victims' trust by establishing fake romantic or personal relationships and induced victims to transfer money with fabricated cryptocurrency investment returns.

According to The Block, the Criminal Investigation Department of the Seoul Police Agency in South Korea has arrested 23 suspects accused of laundering money for a Cambodian criminal organization, with the amount involved approximately 16.8 billion won (about 11.1 million USD). The gang transferred about 11.1 million USD in illegal funds by purchasing USDT and trading on domestic and international cryptocurrency exchanges from February 2024 to April 2025, using approximately 11,300 accounts for money laundering, involving about 265 cases of phishing and investment fraud, with the amount of illicit funds involved around 17 million USD. The Seoul police have seized approximately 650 million won (about 430,000 USD) in criminal proceeds from the suspects, but the gang leader is still at large and has been issued a red notice by Interpol.The police also arrested 33 individuals on the same charges for illegally providing currency exchange services to tourists and acquaintances through USDT.

The Enforcement Directorate (ED) of India has submitted a charge sheet to the PMLA special court in Dwarka, New Delhi, formally accusing Chirag Tomar and his accomplices of participating in a cryptocurrency phishing scam worth approximately $20 million. Investigations reveal that the gang executed attacks by hijacking SEO related to a counterfeit "Coinbase Pro" phishing website, luring users to input account information and further deceiving them into providing 2FA verification, thereby remotely transferring the victims' crypto assets. The funds were subsequently split into thousands of wallets and laundered through P2P transactions with local trading platforms. The case is coordinated with U.S. federal law enforcement actions.Previously, Tomar was arrested by the FBI in the U.S. and sentenced to 60 months in prison for conspiracy to commit wire fraud. The Indian ED stated that it has obtained key evidence through international judicial cooperation and has frozen 129 bank accounts related to the case and assets amounting to approximately 645.5 million rupees, with the involved funds and properties undergoing further recovery and forfeiture procedures.

According to the Korea Herald, the Seoul Metropolitan Police Agency's Wide Area Crime Investigation Team has dismantled two organizations involved in money laundering using virtual assets, with a total amount involved exceeding 14 billion Korean won. One organization consists of nine individuals, including a Chinese suspect A (45 years old), who were instructed by a Cambodian telecom fraud group. From February 2024 to April 2025, they purchased USDT through overseas exchanges and transferred it between domestic and foreign exchanges, laundering approximately 14 billion Korean won in total. The organization charged a fee of 650 million Korean won, and the main suspects have been transferred to the prosecution, with two individuals arrested, and the leader Y (29 years old) has been issued a red notice by Interpol.The other organization, consisting of 14 individuals, directly participated in laundering the proceeds from the Cambodian romance scam, with an amount involved of approximately 2.8 billion Korean won. In addition, another 33 individuals have been transferred to the prosecution for allegedly providing unlicensed virtual currency exchange services to foreign tourists (involving 6.3 billion Korean won).

According to CryptoSlate, the U.S. Congress is pushing to rebuild the Department of Justice's cryptocurrency crime task force. Previously, the Department of Justice disbanded the National Cryptocurrency Enforcement Team in April 2025 and stopped its "law enforcement as regulation" strategy targeting the cryptocurrency industry. The new bill was proposed by Representatives Lance Gooden and Josh Gottheimer, aiming to establish a federal cryptocurrency theft task force within the Department of Justice, responsible for coordinating investigations and prosecutions of cases involving cryptocurrency theft, hacking, fraud, and more.The task force's responsibilities include developing best practices for evidence collection, digital evidence analysis, asset tracking, and victim outreach, providing technical assistance and training to state and local law enforcement agencies, and coordinating international cross-border case cooperation. The bill explicitly excludes the cryptocurrency market, financial institutions, and financial products from the task force's regulatory scope, without changing the existing regulatory framework and criminal law. An FBI report indicates that in 2025, there were 181,565 complaints involving cryptocurrency, with reported losses exceeding $11 billion. The bill has not yet clarified details regarding funding, staffing, and victim response mechanisms.

According to Decrypt, the U.S. Department of Justice announced that a man from Tennessee has been charged by federal authorities with 11 counts for allegedly operating a cryptocurrency Ponzi scheme through his company Star Credit Holdings from 2020 to 2024.He lured investors with false promises of guaranteed returns, used funds from new investors to pay old investors, defrauding investors of millions of dollars, and misappropriated over $1.9 million for himself and his family. He is currently charged with crimes including wire fraud, money laundering, and filing false tax returns; if convicted, he could face decades in federal prison.

According to Reuters, the appeal request by former FTX CEO Sam Bankman-Fried to overturn his fraud conviction and 25-year prison sentence has been rejected. This result means that his previous fraud case conviction and sentence remain unchanged.

The states of Delaware and New Jersey are advancing legislation to comprehensively ban the installation and operation of Crypto ATM devices, citing that these devices are widely used for fraudulent activities. The Delaware House Economic Committee has passed a related bill that aims to prohibit the possession, installation, or operation of Crypto ATMs, requiring existing devices to be removed within 90 days after the bill takes effect; violations could result in fines of up to $10,000 and possible recovery of costs or inclusion in a consumer protection fund.Meanwhile, the New Jersey Senate Commerce Committee has also unanimously passed a similar bill, prohibiting business activities related to Crypto ATMs, with penalties for violations reaching up to $20,000. According to data from the FBI in May, complaints involving Crypto ATMs approached 13,500 in 2025, resulting in losses exceeding $388 million, a significant increase from the previous year, with more than half of the victims aged 50 and above. Currently, several states, including Indiana, Tennessee, and Minnesota, have fully banned Crypto ATMs, and some states and local governments have also imposed limits on transaction amounts.Under regulatory pressure, Crypto ATM operators are facing ongoing impacts, with industry leader Bitcoin Depot having previously filed for bankruptcy due to a deteriorating operating environment. Meanwhile, operators emphasize that they have set up risk warnings and transaction limits and deny direct responsibility for third-party fraud.

According to the Bangkok Post, Thai police raided a scam base in the Saraphi district of Chiang Mai province, arresting 10 Chinese citizens and seizing 67 mobile phones, 7 iPads, and 13 laptops.

Recently, the Haidian Court in Beijing, China, made a ruling on a fraud case. Retired elderly man Meng, due to his obsession with virtual currency trading and unwillingness to use his pension, disguised himself as a "Central Ministry" staff member in his 20s named Xiao Hong on a short video platform and established an online romantic relationship with a young man. Meng deceived the young man out of over 200,000 yuan by claiming that his family member was ill and urgently needed surgery, and for other reasons such as preparing for an overseas exam.Meng invested all the over 200,000 yuan he defrauded into virtual currency trading and opened a tenfold leverage account. Subsequently, due to a market downturn, he faced liquidation, resulting in a total loss of funds. The Haidian Procuratorate previously prosecuted Meng for fraud, and the Haidian Court ultimately sentenced Meng to 4 years in prison and imposed a fine, while also ordering him to compensate the victim for their economic losses.

According to PR Newswire, AI-driven anti-fraud infrastructure InfoHawk announced the completion of a $2.25 million Pre-Seed round of financing, led by Moonshots Capital, with participation from former Chairman of the Federal Trade Commission Jon Leibowitz, AppNexus founder Brian O'Kelley, former head of advertising at Meta Rob Goldman, GitHub CTO Vlad Fedorov, and others.The new funds are intended to support its efforts to help businesses detect, analyze, and combat large-scale online fraud, phishing sites, brand impersonation, and deepfake attacks through AI content recognition and deep infrastructure analysis technology.

Bitget Chief Legal Officer Hon Ng today released an open letter, announcing that Bitget has officially launched the 2026 Global Anti-Fraud Month campaign, themed "More Assets, Stronger Protection."In the letter, Hon Ng pointed out that as the platform expands from crypto assets to a multi-asset ecosystem, users face increasingly complex cybersecurity threats while enjoying broader market access. He emphasized that the multi-asset era means greater responsibility. User protection is not a one-time project but a continuous result of risk monitoring, rapid response, security education, and industry collaboration.The open letter also disclosed Bitget's security and anti-fraud achievements for 2025. Data shows that Bitget intercepted over 150 million malicious attack requests throughout the year, identified over 13,000 high-risk malicious IPs, handled 18,135 user protection cases, and assisted users in recovering approximately $32.3 million related to security incidents and fraudulent activities.In addition, Bitget's security system achieved over 2.8 billion risk interceptions through customized protection rules, defended against over 1.5 billion DDoS attack attempts, and introduced machine learning-based behavioral analysis capabilities to further identify suspicious activities and potential risks.

In response to Radha Stirling's claims about multiple Dubai crypto figures being abused in UAE detention centers, on-chain investigator ZachXBT stated that the individuals referred to as "crypto entrepreneurs" are actually threat actors suspected of involvement in high-impact social engineering crypto scams and data extortion. Law enforcement has seized $18.9 million in stolen funds.