The DOJ has cracked a cryptocurrency fraud ring involving up to $36.9 million.

The U.S. Department of Justice (DOJ) recently uncovered an international Crypto Assets fraud case involving $36.9 million, with five individuals pleading guilty. The gang meticulously designed scams through social media, text messages, phone calls, and online dating sites, luring American victims to invest in fake digital asset projects, while in reality, the funds were transferred to accounts controlled by the criminals and moved overseas through a complex money laundering network.

The core operation of the case involves several key individuals. Among them are California residents Joseph Wong (33 years old), Jose Somarriba (55 years old), and Shengsheng He (39 years old), as well as two Chinese citizens Yicheng Zhang and Jingliang Su, all of whom have admitted to participating in the criminal acts.

Among them, Jose Somarriba and Shengsheng He co-founded the shell company Axis Digital Limited and opened an account at Deltec Bank in the Bahamas to receive funds from victims. Subsequently, they converted the funds into USDT and transferred them to a digital wallet controlled by anonymous individuals in Cambodia, ultimately flowing into a scam center operated locally.

Meanwhile, a certain Wong managed a money laundering network in Los Angeles, assisting in the transfer of funds overseas by creating shell companies and American bank accounts. A certain Zhang was responsible for managing some obfuscated accounts, further concealing the flow of funds.

Currently, Wong and Zhang are facing up to 20 years in prison for conspiracy to commit money laundering, while Somarriba, He, and Su are facing up to 5 years in prison for conspiracy to operate unlicensed currency services. They, along with three other accomplices who previously admitted their guilt, collectively acknowledged the money laundering charges.

Previously, the Internet Crime Complaint Center (IC3) of the Federal Bureau of Investigation (FBI) released a report stating that Americans over the age of 60 are the most affected by fraud related to Crypto Assets. Last year alone, losses from over 140,000 complaints related to digital assets exceeded $4.8 billion.

In summary, the DOJ's actions against digital currency crimes remind the public of the risks associated with investing in Crypto Assets, and also reveal the gaps in market regulation, particularly the lack of protections for the elderly.

As a Crypto Assets investor, what do you think should be done to protect investors, especially the elderly, from such scams?

#加密货币诈骗 # U.S. Department of Justice #数字货币犯罪 # Investor Protection