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Six Indians Are Arrested in New York as the FBI Cracks Down on a Million-Dollar Crypto Scam
According to the indictment, the defendants created a fake cryptocurrency exchange called Coinexx and lured investors with false promises of high returns and low fees. They also used fake identities, websites, social media accounts, and testimonials to promote their scheme. They claimed that Coinexx was a licensed and regulated platform that offered trading in various cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Ripple, and Dogecoin.
The defendants allegedly collected over $30 million from more than 1,000 victims between January 2020 and October 2023. They used various methods to transfer the funds, including bank wires, credit cards, debit cards, gift cards, and cryptocurrencies. They also used multiple shell companies and bank accounts to conceal the source and destination of the funds.
The FBI seized over $10 million worth of cryptocurrencies from the defendants' wallets and accounts. The FBI also recovered several laptops, phones, hard drives, and documents related to the scam. The investigation is ongoing and the FBI is seeking to identify and locate more victims of the scam.