CryptoFraud

FTX founder Sam Bankman-Fried (SBF) has filed an appeal with the U.S. Court of Appeals for the Second Circuit in New York, arguing that his trial was “unfair and predetermined.”
According to SBF’s legal team, their client faced bias from prosecutors, the media, and especially the presiding judge from the very beginning. Bankman-Fried was convicted in 2023 on seven criminal counts, including fraud and conspiracy, and sentenced to 25 years in prison — a verdict his attorneys now call a “miscarriage of justice.”


Appeals court challenge
The appeal centers on alleged misconduct by Judge Lewis Kaplan, who presided over the original case. According to the defense, Kaplan “repeatedly tilted the scales in favor of the government and obstructed the defense.”
The filing accuses the judge of pressuring jurors to reach a quick verdict by offering them “free dinner and rides home,” which the defense says compromised the deliberation process.
Lawyers also claim Kaplan mocked and discredited SBF during the trial, openly questioning his honesty. When Bankman-Fried testified that he did not personally control Alameda Research, Kaplan allegedly called his statement a “joke.”
The defense now demands a new trial under a different judge, claiming the courtroom atmosphere made a fair verdict impossible.

FTX “was never insolvent,” defense claims
The appeal also references new filings asserting that FTX was never insolvent and held $136 billion in assets at the time of collapse.

Among them were:

🔹 Anthropic shares worth $14.3 billion

🔹 Robinhood stock worth $7.6 billion

🔹 205,000 BTC valued at $2.3 billion

🔹 112,600 ETH worth roughly $500 million
According to SBF’s lawyers, 98% of creditors have already been repaid up to 120% of their claims, with total recovery expected between 119% and 143%. They insist FTX faced a liquidity crisis, not a true insolvency.
However, the crypto community has rejected these claims, calling them an attempt to “rewrite history” and minimize investor losses.

Key witnesses and pardon speculation
During the original trial, three top FTX executives — Gary Wang, Nishad Singh, and Caroline Ellison, SBF’s ex-girlfriend and head of Alameda — testified against him.

Ellison’s testimony was particularly damaging, describing how she created fake balance sheets at SBF’s direction to hide that $10 billion in customer funds had been misused to cover Alameda’s losses.
The appeal also challenges Judge Kaplan’s decision to block evidence showing FTX’s solvency, while allowing prosecutors to argue that SBF “stole billions.” Defense attorneys maintain he acted in good faith based on FTX legal counsel’s advice.

Redemption or the final chapter?
Reports suggest that SBF’s family has quietly explored the possibility of a presidential pardon from Donald Trump, particularly after Trump recently pardoned Binance founder CZ.

However, the crypto community has been strongly opposed to any such move, seeing SBF’s conviction as a necessary step toward restoring market integrity.
Sam Bankman-Fried now remains in a California prison awaiting the appeals court’s decision. If successful, his case could return for a new trial — potentially reigniting one of the most consequential legal battles in crypto history.


#FTX , #SBF , #CryptoScandal , #TRUMP , #CryptoFraud

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,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

Famous Taiwanese singer and actor Jay Chou says his magician friend vanished after managing $4 million worth of his Bitcoin, leaving fans shocked and confused.
The missing man, illusionist Will Tsai, is accused of disappearing with the funds, turning a crypto deal into what might be his most convincing trick yet.

↓ Scroll for more information ↓


Taiwan-based pop singer Jay Chou publicly called out magician Will Tsai, who was managing $4 million worth of his Bitcoin before vanishing without a trace.


Jay posted Will's photo with 3 question marks, writing: "Has anyone seen this magician, Will Tsai, who made himself disappear? Let me know."


"This guy's been missing for a while, feeding me excuses l actually believed so he could. finish his performance. Think I'm not a magician? Show up, or you're done."


To this day, the magician accused of vanishing with Jay Chou's $4 million crypto remains missing. It might be his most successful illusion yet.

•••

▫️ Follow for tech, business, & market insights

#JayChou #BitcoinScam #WillTsai #CryptoFraud #CryptoNews $BTC

Key Highlights:

🔹 Crypto ATM scams are exploding in Massachusetts, causing millions in losses

🔹 Victims are losing tens of thousands of dollars, with police struggling to trace funds

🔹 South Hadley officials are proposing a full ban on crypto ATMs

Crypto ATM scams have become a growing crisis in Massachusetts, as both business owners and residents report a wave of sophisticated fraud. Police say the scams have already caused millions of dollars in damages, prompting local authorities to consider banning the machines—or at least enforcing tighter oversight.

How the Scams Work
One notable case involved a South Hadley shop owner who installed a crypto ATM as a side income. He earned $200 a month in rent plus a percentage of each transaction — a seemingly easy way to boost daily sales.
That changed when one of his employees received a fake phone call from a scammer pretending to be the owner. The scammer instructed the employee to deposit $11,000 into the crypto ATM — money that instantly vanished. Police have been unable to recover the funds.
Authorities say this is just one of many incidents. One resident lost $48,000, another $4,900, with most cases being nearly impossible to trace.

“These transactions are irreversible and practically untraceable,” said Police Chief Jennifer Gundersen. “We spend dozens of hours investigating, often without success.”

A Nationwide Problem
The problem extends far beyond Massachusetts. Middlesex County Sheriff Peter Koutoujian told lawmakers that in 2024, the FBI received over 11,000 complaints related to crypto ATM fraud.

Victims collectively lost $247 million, marking a 99% increase in complaints and a 31% rise in total losses from the previous year.
A new bill, H 1247/S707, now before the state legislature, seeks to tighten consumer protection for crypto ATM users. The proposed law would:

🔹 Require operators to obtain money transmitter licenses

🔹 Mandate registration of every machine with the state banking commissioner

🔹 Enforce quarterly location reports

🔹 Impose a daily transaction limit of $1,000 per customer

South Hadley Moves to Ban the Machines
While the bill is still pending, Chief Gundersen has proposed a complete ban on crypto ATMs in South Hadley.

Under a plan modeled after ordinances in Waltham and Gloucester, store owners would have 30 days to remove their machines or face a $300 daily fine.
“Waltham saw the number of machines jump from four to fourteen within months,” Gundersen explained. “And in some cases, store owners helped elderly victims complete scam transactions because they were getting a cut of the money.”

Police Demand Stronger Oversight
Assistant District Attorney Nicholas Atallah said local departments now send him multiple crypto ATM scam cases every month.

“The scammers often pose as police officers or government officials, demanding that victims send money through these machines,” Atallah said. “Technically, it’s possible to trace these transactions — but in practice, it’s extremely difficult.”

Experts warn that only stronger regulation and public awareness can effectively curb the spread of crypto ATM scams, which remain one of the fastest-growing tools for money laundering and cyber fraud.


#CryptoFraud , #ATM , #cybercrime , #DigitalAssets , #BlockchainSecurity

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Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

Thai authorities have announced the arrest of Chinese national Liang Ai-Bing, accused of orchestrating a massive cryptocurrency Ponzi scheme that allegedly defrauded nearly 100 investors out of more than 100 million yuan (approximately $14 million).
The arrest took place in Bangkok, where Liang had been living in a luxurious three-story villa since December 2024, paying 150,000 baht ($4,645) in monthly rent — a stark contrast to the victims who lost their life savings.

Luxury Lifestyle, Illegal Weapons, and Escape from China
During a raid by Thailand’s elite 191 Police Unit, investigators discovered a Beretta handgun and 20 rounds of ammunition.

Liang was charged with illegal possession of a firearm and ammunition, as well as unlawful entry into the country.
According to Thai and Chinese police, Liang had four accomplices — Al Qing-Hua, Wu Jiang-Yan, Tang Zhen-Que, and Zuo Lai-Jun.

While Zuo was captured and released on bail, the remaining suspects are still at large.
Chinese authorities revealed that between December 2022 and May 2023, the group created a fraudulent crypto investment platform called FINTOCH, luring investors with promises of high, guaranteed returns.

In reality, it was a classic Ponzi scheme, collapsing after the operators siphoned off investors’ funds.

FINTOCH — A Fraud Disguised as a Global Fintech Project
The FINTOCH platform targeted investors through mobile apps and social media, falsely claiming to be affiliated with Morgan Stanley — an allegation that was quickly refuted.

The investment bank confirmed it had no connection to the project, does not solicit investors via email or social media, and does not trade crypto on behalf of clients.
Investigations also found that the so-called “CEO,” Bobby Lambert, was a paid actor, not a real person.

Crypto investigator ZachXBT reported that FINTOCH drained more than 31 million USDT, transferring the funds from Binance Smart Chain to addresses on Tron and Ethereum — after which investors were unable to withdraw their money.

Scams Targeting the Financially Vulnerable
According to the Monetary Authority of Singapore (MAS), the project amassed over $31 million in user deposits before disappearing in May 2023.

MAS also confirmed that FINTOCH was not affiliated with MariBank Singapore Private Limited, despite claiming otherwise.
ZachXBT emphasized that such scams often target communities with low financial literacy, exploiting their lack of knowledge about crypto investments.
“It’s unlikely that victims will recover their funds, but they should still report the fraud to their local authorities,” he warned.

Ponzi Schemes Still Threaten the Crypto Space
A report by Immunefi, a blockchain security platform, revealed that cases like FINTOCH were among the main contributors to a 63% year-over-year increase in crypto-related losses during Q2 2023.
The case serves as a stark reminder that even as global regulations tighten, cryptocurrency remains a magnet for scammers who prey on greed and false promises of easy profits.
Liang Ai-Bing is now awaiting extradition to China, where he will face charges of financial fraud, money laundering, and organized crime.



#Cryptoscam , #blockchain , #CryptoFraud , #CryptoCrime , #CryptoNews

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

Venezuelan authorities have arrested César Julio Gómez López, one of the alleged leaders of the Generation ZOE network, a pyramid investment scheme that originated in Argentina and spread across Latin America. The arrest took place in Zulia state, western Venezuela, following an extensive investigation by the Scientific, Penal and Criminal Investigations Corps (CICPC).
Details of the Arrest
According to Douglas Rico, Director of the CICPC, Gómez López is accused of international fraud and of obtaining illicit economic gains of up to 20% through fraudulent investment schemes.
“Investigations revealed that the detainee obtained economic benefits from his victims’ assets, charging up to 20% per person who joined as an investor,” Rico stated on his official Instagram account.
Authorities confirmed that Gómez López acted as a key operator within Generación ZOE Venezuela, recruiting new investors and promising high monthly returns based on false business models.
Ongoing Investigation and Manhunt
The CICPC has also issued search warrants for four other suspects linked to the Venezuelan branch of the organization:
Blanca Torres — identified as the Director of Generación ZOE in Venezuela
Martiña Reyes
Patricia Sulbaran
Yomary Rivas
Authorities are expanding the investigation into other regions, including Trujillo state, where raids on multiple properties linked to the organization were conducted earlier this year.
Background: What Is Generation ZOE?
Generación ZOE was founded by Leonardo Cositorto in Argentina and gained notoriety across Latin America for its multi-level investment model that promised monthly returns between 7.5% and 10%, mainly in U.S. dollars.
The organization claimed to invest in sectors such as:
Cryptocurrencies (notably “Zoe Cash”)
Capital markets and trading
Forex and sports teams
Various other “profitable” ventures
In reality, authorities determined that Generación ZOE operated as a pyramid scheme, using funds from new investors to pay existing members — a structure that eventually collapsed, leading to widespread financial losses across Argentina, Colombia, Paraguay, Spain, and Venezuela.
Implications for Venezuela and the Region
The arrest of César Gómez López marks a significant step in dismantling the regional operations of Generación ZOE. Venezuelan authorities continue to coordinate with international agencies to track remaining members and recover victims’ assets.
This case also highlights the increasing presence of fraudulent crypto and investment schemes in Latin America, where economic instability and the rise of digital assets have made investors particularly vulnerable.
🔎 Key Takeaways:
César Julio Gómez López arrested in Zulia for international fraud linked to Generación ZOE.
Authorities seek four additional suspects, including Blanca Torres, ZOE’s director in Venezuela.
The scheme promised unrealistic returns of 7.5%–10% monthly through fake investment fronts.
Generación ZOE operated in multiple countries, with ongoing investigations across Latin America.
📍#📍#Venezuela
# #BreakingNews
#CryptoFraud
#GenerationZOE
#Zulia

Venezuelan authorities have arrested César Julio Gómez López, one of the alleged leaders of the Generation ZOE network, a pyramid investment scheme that originated in Argentina and spread across Latin America. The arrest took place in Zulia state, western Venezuela, following an extensive investigation by the Scientific, Penal and Criminal Investigations Corps (CICPC).
Details of the Arrest
According to Douglas Rico, Director of the CICPC, Gómez López is accused of international fraud and of obtaining illicit economic gains of up to 20% through fraudulent investment schemes.
“Investigations revealed that the detainee obtained economic benefits from his victims’ assets, charging up to 20% per person who joined as an investor,” Rico stated on his official Instagram account.
Authorities confirmed that Gómez López acted as a key operator within Generación ZOE Venezuela, recruiting new investors and promising high monthly returns based on false business models.
Ongoing Investigation and Manhunt
The CICPC has also issued search warrants for four other suspects linked to the Venezuelan branch of the organization:
Blanca Torres — identified as the Director of Generación ZOE in Venezuela
Martiña Reyes
Patricia Sulbaran
Yomary Rivas
Authorities are expanding the investigation into other regions, including Trujillo state, where raids on multiple properties linked to the organization were conducted earlier this year.
Background: What Is Generation ZOE?
Generación ZOE was founded by Leonardo Cositorto in Argentina and gained notoriety across Latin America for its multi-level investment model that promised monthly returns between 7.5% and 10%, mainly in U.S. dollars.
The organization claimed to invest in sectors such as:
Cryptocurrencies (notably “Zoe Cash”)
Capital markets and trading
Forex and sports teams
Various other “profitable” ventures
In reality, authorities determined that Generación ZOE operated as a pyramid scheme, using funds from new investors to pay existing members — a structure that eventually collapsed, leading to widespread financial losses across Argentina, Colombia, Paraguay, Spain, and Venezuela.
Implications for Venezuela and the Region
The arrest of César Gómez López marks a significant step in dismantling the regional operations of Generación ZOE. Venezuelan authorities continue to coordinate with international agencies to track remaining members and recover victims’ assets.
This case also highlights the increasing presence of fraudulent crypto and investment schemes in Latin America, where economic instability and the rise of digital assets have made investors particularly vulnerable.
🔎 Key Takeaways:
César Julio Gómez López arrested in Zulia for international fraud linked to Generación ZOE.
Authorities seek four additional suspects, including Blanca Torres, ZOE’s director in Venezuela.
The scheme promised unrealistic returns of 7.5%–10% monthly through fake investment fronts.
Generación ZOE operated in multiple countries, with ongoing investigations across Latin America.
📍#📍#Venezuela
# #BreakingNews
#CryptoFraud
#GenerationZOE
#Zulia

The Supreme Court of British Columbia dismissed the lawsuit of Yan Li Xu, an accountant from Victoria, who accused the Canadian crypto platform NDAX Canada of losing $671,000 due to online fraud. The decision was announced by Judge Lindsay LeBlanc on October 20, 2025, emphasizing that NDAX had fulfilled all customer protection obligations.

A shocking case from Canada highlights how even multiple fraud warnings can fail to prevent disaster.

The British Columbia Supreme Court has ruled that cryptocurrency exchange NDAX Canada bears no responsibility for the loss of $671,000 CAD (about $480,000 USD) that a client transferred to an online scammer — despite being warned four separate times not to proceed.

Court: “The Warnings Could Not Have Been Clearer”
Justice Lindsay LeBlanc found that NDAX fulfilled all of its obligations toward the customer and had done everything possible to prevent the fraud.
“While the losses suffered by the plaintiff are regrettable, there is no legal basis to assign liability to NDAX,” she wrote.

The judge emphasized that the exchange’s repeated warnings “could not have been clearer.”
NDAX is registered with FINTRAC, Canada’s financial intelligence agency, as a money services business and is therefore subject to strict anti–money laundering laws.

How the Fraud Happened
Yan Li Xu, an accountant from Victoria, opened her NDAX account on April 10, 2023, after an online acquaintance convinced her to invest in a program that allegedly paid 1% in daily returns.

To fund her “investment,” she refinanced her house and borrowed money from a friend — a total of $671,000 CAD, which she then used to purchase Ethereum (ETH) through NDAX.
On April 18, an NDAX employee contacted Xu to verify the transaction and warned her that it showed “high-risk indicators.”

Compliance officer Julia Baranovska even told Xu directly that she was “very likely being scammed.”
Nevertheless, Xu insisted that NDAX “immediately execute the withdrawal,” demanding that her ETH be sent to an external wallet — which turned out to belong to the fraudsters.

“Release My Funds Immediately or I’ll Sue”
According to the court filing, after the initial call Xu sent multiple urgent emails demanding that NDAX release her crypto, threatening legal action if they refused.
NDAX responded with a written fraud warning, a secondary confirmation notice, and two follow-up phone calls, all reiterating that she was likely being targeted by scammers.

Only after these steps did the exchange process the transaction — and the Ethereum was instantly moved to the scammer’s wallet, becoming irretrievably lost.

Canada Tightens Oversight of Crypto Firms
The ruling comes as Canada ramps up enforcement of its cryptocurrency regulations.

This week, the country’s financial intelligence agency issued a record $176.9 million CAD fine to a Vancouver-based crypto platform for violating anti–money laundering laws.
Authorities cited thousands of unreported suspicious transactions linked to child exploitation, ransomware, and sanctions evasion — the largest penalty ever imposed on a Canadian crypto company.

A Lesson for All Investors
The case illustrates that while crypto exchanges must protect users, their responsibility has limits.

Once a customer ignores multiple explicit warnings, the liability shifts squarely onto them.

The Xu case serves as a cautionary tale for crypto investors everywhere:

Never send crypto based on online promises of “guaranteed profits” — no matter how convincing they sound.


#Cryptoscam , #Canada , #Ethereum , #CryptoSecurity , #CryptoFraud

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

Seized Notebooks Revealed Sophisticated Scams
Hong Kong police uncovered a sophisticated fraud scheme that used artificial intelligence to deceive victims. The investigation led to the seizure of over HK$34 million (approximately USD 3.37 million). Notebooks confiscated by law enforcement revealed the criminals' methods, including the use of deepfake technology to appear more convincing.
How the Fraudsters Lured Their Victims
The fraudsters pretended to be wealthy single women, crafting stories about interests such as learning Japanese, playing golf, or tasting luxury wines worth over HK$100,000 (USD 12,850) per bottle. These methods were documented in the notebooks seized during the operation.
The investigation resulted in the arrest of 31 individuals connected to a criminal syndicate. This group used artificial intelligence to create realistic images of attractive women, which were then used to lure victims into romantic and investment scams.
The Problem of Deepfake Scams
Byron Boston, a former police officer and CEO of Crypto Track, warned that the combination of deepfake technology and social engineering presents significant challenges for investigators and law enforcement. AI-generated images make criminals more convincing and enable them to execute more complex scams.
Boston highlighted an incident from November 2022, where a fake video impersonating FTX founder Sam Bankman-Fried was used in a phishing attack targeting FTX users. This incident demonstrates how deepfake technologies can be exploited to steal cryptocurrency assets from victims.
Scams Targeting Young People
Confiscated materials revealed that the fraudsters specifically targeted young people seeking quick earnings. Victims were often convinced they were communicating with ideal women from Taiwan, Singapore, and Malaysia.
Challenges in Combating These Crimes
Boston emphasized that effective collaboration and swift action are key to fighting these sophisticated scams. However, he noted that many local law enforcement agencies, particularly in the U.S., lack the necessary tools and expertise to track stolen cryptocurrency or cooperate with international exchanges.
Criminals leveraging technologies like deepfake and social engineering remain a significant challenge for security forces worldwide.

#Deepfake , #CryptoFraud , #CryptoScams , #cybercrime , #CryptoNewss

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“