US and Brazilian Authorities Bust a Crypto Scam and Confiscate $24M Worth of Crypto

A major cryptocurrency scam operating in Brazil has been busted by the law enforcement authorities of the United States and Brazil. According to an official announcement made by the United States Department of Justice (DOJ), the authorities have been able to confiscate an amount of $24 million worth of cryptocurrency funds. However, they could not retrieve the entire amount of funds from the scam.

Operation Egypto: A Joint Operation

As per the announcement of the US DOJ, the law enforcement agency of the United States of America has assisted Brazilian authorities in an internet fraud investigation. It was a joint operation between these authorities known as “Operation Egypto”.

Working under this operation, the law enforcement authorities of the US and Brazil traced this scam and tracked down the real person behind it. A person named Marcos Antonio Fagundes was the one who was operating this cryptocurrency scam. Authorities found out that Fagundes along with his gang members has been running this scam for almost two years. They looted cryptocurrency investors and defrauded a handsome amount of funds through this scam from August 2017 to May 2019.

They lured victims and asked them to send funds in cryptocurrency as well as in fiat currency to their accounts. In return, scammers claimed to offer them new golden financial opportunities. Ultimately, those who wanted to earn profits through it eventually lost their money.

A total of $200 million was scammed out by these fraudsters. However, the Brazilian authorities were only able to confiscate an amount of $24 million worth of digital assets even with the assistance of the law enforcement agency of the United States.

Fagundes, the leader of this major cryptocurrency scam has been charged with various allegations including money laundering, infringement of securities law, and operating an illegal financial institution.

There is no end to cryptocurrency scams as they keep on rising with the passage of time. Recently, a 72-year old woman from the United Kingdom became the victim of scammers and lost $84,000 worth of funds.

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