New York Nails $440K in Crypto Scam Cash!

Brooklyn Busts Multi-Layered Crypto Con

New York's finest just scored big, snagging over $440,000 in stolen crypto from a slick fraud ring that's been hitting up locals left and right!

The Brooklyn DA, New York AG, and NYDFS teamed up to smash a gnarly crypto scam that's been gunning for Russian-speaking folks in Brooklyn and beyond. These scammers are playing dirty, and they're not playing around!

In a power move, authorities seized a cool $140,000 in digital loot and froze another $300,000 in crypto accounts tied to the scheme. Talk about hitting the scammers where it hurts!

These crooks were running a shady ad network across social media, luring unsuspecting crypto investors into their trap with promises of big bucks. It's a digital Wild West out there!

The investigation kicked off in October 2024 when NYDFS caught a fake site, WhalesTrade.com, faking a BitLicense. Turns out, it was just the tip of the iceberg in a massive network of fraud factories designed to trick victims into sending their hard-earned crypto for so-called high-return investments.

These platforms were slick, using Russian-language ads and impersonating big names to seem legit. It's like a digital heist movie, but with real victims!

Once victims bit the hook, scammers whisked them away to encrypted chats on WhatsApp and Telegram, making it all seem legit. It's a classic bait-and-switch, but with a modern twist!

Victims saw fake account statements showing crazy returns, egging them on to send even more cash. But when they tried to cash out? Blocked, or hit with bogus fees and taxes. Then, poof! The scammers vanished into thin air.

Over 300 people got scammed, with Brooklyn alone coughing up over $1 million in losses. It's a brutal hit to the community!

Meta, the brains behind Facebook, shut down over 700 accounts linked to the scam after getting the heads-up from officials. Plus, authorities took down a network of over 100 fake domains and 17 registrar accounts used to sucker in investors. It's like a digital whack-a-mole!

To dodge Facebook's ad cops, these scammers hired "Black Hat" pros from Vietnam, paying them in stolen crypto to run their dirty ads. They even converted Bitcoin to Vietnamese dong to fund the whole operation, but a court order froze $300,000 in related accounts. The noose is tightening!

This is just one chapter in a book of scams using digital ads to fleece crypto investors. It's a wild ride, and it's far from over!

Earlier in 2024, fake versions of Whales Market and Revoke Cash popped up as sponsored links on Google, tricking users into linking their wallets to phishing sites. It's a digital minefield out there!

In some cases, even trusted services got impersonated with look-alike domains, draining user funds with sneaky scripts. Despite Google and Meta's efforts to shut it down, these scam ads keep popping up like weeds. It's a constant battle in the crypto world!