💣 “The Biggest Crypto Collapses: Scandals, Bankruptcies & Billion-Dollar Wipeouts”
#scamriskwarning #CryptoCrime #CryptoWatch #IfYouAreNewToBinance
⚖️ Crypto Investors & Companies That Went Bankrupt or Faced Legal Trouble
💥 1. Three Arrows Capital (3AC)
Hedge fund once managing $10B in crypto assets
Collapsed in 2022 after bad bets on LUNA, GBTC, and leveraged trades
Founders Kyle Davies & Su Zhu faced lawsuits and asset seizures
💥 2. FTX / Alameda Research
Sam Bankman-Fried’s empire filed for bankruptcy in 2022
Over $8 billion in customer funds misused
SBF sentenced to 25 years for fraud in 2024
💥 3. Celsius Network
High-yield crypto lender promising up to 18% returns
Filed bankruptcy mid-2022 after liquidity crisis
CEO Alex Mashinsky arrested, facing fraud and market manipulation charges
💥 4. Voyager Digital
Crypto brokerage offering yield products
Bankrupt in 2022 after exposure to 3AC collapse
Investors lost access to funds, lawsuits followed
💥 5. Terraform Labs / Do Kwon
Creator of LUNA and UST
Collapse wiped $45B+ from the market
Do Kwon arrested, facing extradition to the U.S. and South Korea
💥 6. BlockFi
Crypto lender with $10B+ in assets
Bankrupt late 2022, linked to FTX fallout
Facing lawsuits over misleading practices
💥 7. BitConnect
Famous Ponzi scheme from 2017–2018
Promised daily profits via "trading bot"
Promoters arrested; billions lost
💥 8. Mirror Trading International (MTI)
South African Bitcoin Ponzi scheme
Claimed to run AI trading bots
Over $1.2B vanished, CEO in hiding
⚠️ What This Shows
Even high-profile crypto investors and firms can face catastrophic collapses
Leverage, unsustainable yields, poor transparency = common red flags
Regulatory pressure continues to grow post these events$WCT