Spanish authorities, in collaboration with Europol and international partners, have arrested five individuals believed to be behind one of Spain’s largest-ever cryptocurrency investment frauds.
The criminal network is accused of duping over 5,000 victims and stealing more than €460 million (approximately $542 million).
Three suspects were taken into custody in the Canary Islands and two others in Madrid last Wednesday. The operation involved support from law enforcement agencies in the United States, France, and Estonia.
According to Europol, the group operated a sprawling global operation, laundering funds through a network of shell companies, payment processors, and crypto exchanges. They reportedly used various tactics to raise money, including bank and crypto transfers, and employed associates across multiple countries to facilitate the flow of illicit funds.
Authorities believe the group relied on companies based in Hong Kong and front accounts registered under various names to obscure the movement and ownership of the stolen money. The scheme allegedly involved using these entities to funnel funds through a web of platforms, making tracking and tracing more difficult.
This high-profile bust adds to a string of international actions targeting crypto-based financial crime. In January, Spanish officials froze over $26 million worth of digital assets tied to a separate money laundering case.
Meanwhile, U.S. officials recently seized more than $225 million linked to “pig butchering” scams, a type of investment fraud that manipulates victims into progressively larger losses. In another case, five individuals admitted guilt in a $37 million crypto scheme that saw funds diverted to Cambodia.
As the crackdown on digital asset fraud intensifies globally, law enforcement agencies are increasing cooperation to disrupt sophisticated international networks targeting crypto investors.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over 8 years of experience covering the crypto, blockchain and fintech industries, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics.
