U.S. authorities have seized over $25 million worth of cryptocurrency in one of the biggest pyramid schemes in Brazil.
The move was the result of a joint operation started by Brazilian authorities’ along with the US Department of Justice, and targeted InDeal — $200 million Ponz scheme running in Brazil since 2017.
InDeal creators promised investors returns up to 15% after just investing for a month. The scammers urged investors to pay in cryptocurrencies, which would be used to invest the funds in other crypto assets.
According US Justice Department’s report, that Marco Antonio Fagundes, one of the masterminds of the scam, did not comply with Brazilian regulations as a financial service provider. In addition, he offered high ROI for those who bet on cryptocurrency products.
Cryptocurrency-related scams have reportedly increased significantly this year amid the ongoing global pandemic.
