In December 2024, charges were brought against two young men from California, Gabriel Hay (23) and Gavin Mayo (23), for their involvement in a massive fraud scheme through fake NFT projects that resulted in losses exceeding $22 million for investors.
✨ Case details:
✔️ Fraud continued from May 2021 to May 2024, during which the defendants launched several NFT projects such as "Vault of Gems" and "Faceless."
✔️ They promised investors unique benefits, such as the "Vault of Gems" project being the first NFT project linked to real assets, but these promises were completely false.
✔️ They used fake roadmaps and promotional lies to convince investors to pay huge amounts.
✔️ Once the funds were collected, they abandoned the projects, leaving investors with significant losses and worthless assets.
🔍 Investigations:
✔️ Authorities, particularly the U.S. Department of Homeland Security (HSI), began tracking the case until the network was uncovered and the defendants were arrested.
✔️ HSI official Katrina Berger stated:
"For three years, the defendants lied to investors to steal millions of dollars, and these crimes are not without victims despite the absence of violence."
⚖️ Charges filed:
✔️ Conspiracy and wire fraud with penalties of up to 20 years in prison.
✔️ Additional charges such as harassment.
This case highlights the dangers of fraud in the cryptocurrency world, especially in NFT projects, which have become a breeding ground for complex scams.