The Qulab information-stealing and clipboard hijacker trojan is being propagated on YouTube via fraudulent videos about an allegedly free bitcoin (BTC) generator, BleepingComputer reports on May 29. According to the report, security researcher Frost reached out to BleepingComputer about the trojan scam, saying that YouTube would take down the fraudulent videos when reported, but new accounts and videos would subsequently pop up with the same MO. The videos reportedly describe a tool that lets users earn free bitcoin, with a link in the video description. The links then direct to a download for the alleged tool, which is the Qulab …

Police in Russia have arrested an alleged creator of a crypto pyramid scheme from Kazakhstan who was facing an international arrest warrant, Russia’s Ministry of Internal Affairs (MOI) officially reported on May 28. The unnamed detainee is reportedly accused of defrauding investors using a scam crypto scheme promising high returns from crypto investments, involving a group of criminals. The MOI reported at least 300 fraud cases allegedly connected with the pyramid scheme, with one of the investors having reportedly lost around 14 million Kazakhstan tenge ($36,700) to the criminals. According to the report, the intruder fled Kazakhstan in early 2019 …

Germany’s financial regulator has no knowledge of “cyber incidents” or market manipulation occurring on crypto trading platforms in the country, according to a press release on May 28. Referencing info from the Federal Financial Supervisory Authority (BaFin) — the financial watchdog that oversees banks, financial services institutions and insurance services — the government responded to a question from the Free Democratic Party (FDP), a centrist political party in the country, concerning information on cyber attacks, fraud, money laundering and market manipulation involving crypto assets. A translation of the written response reveals that it does not categorize financial crimes any differently …

The Australian Securities and Investments Commission (ASIC) has warned the public that crypto project OneCoin “could be involved in a scam,” according to a notice released on May 28. The Australian financial regulator has issued an official warning against OneCoin, the entity operating under website onecoin.eu, urging the public to not deal with this company as it is not licensed in Australia. Similar to another warning concerning a different company published on May 21, the ASIC stated that OneCoin did not obtain two major licenses needed to offer investment services in the country. Specifically, the regulator noted that the company …

The United States Securities and Exchange Commission (SEC) has initiated court proceedings against a California resident for allegedly operating a multimillion-dollar cryptocurrency pyramid scheme, according to a press release published on May 23. The SEC alleges Daniel Pacheco of conducting a fraudulent, unregistered offering of securities through two California-based companies, IPro Solutions LLC and IPro Network LLC, from January 2017 through March 2018. The companies purportedly attracted over $26 million from investors who received “points” that could be converted into a digital currency called PRO Currency. Investors who contributed additional funds were told they could earn cash commissions and additional …

Two Chinese over-the-counter (OTC) traders have been accused of running an illicit bitcoin (BTC) loan scheme and collecting bitcoin by promising interest on deposits, Chinese newspaper The Beijing News reports on May 22. According to the article, Yi Zhou and Xiang Li convinced traders to send them their bitcoin holdings by promising them interest on their deposits, obtaining over 7,000 BTC (nearly $54.7 million at press time) from over 100 investors. The allegedly defrauded investors first started cultivating suspicions when the interest — which was paid in yen — stopped arriving on time in April. The two individuals reportedly gained …

The Australian Securities and Investments Commission (ASIC) has issued another warning on May 21 against an alleged crypto-related scam project. According to the report, the Australian financial regulator has today published a warning against an alleged scam entity dealing under two names, Dartalon Ltd and GFC Investments. The ASIC has red flagged the entity, reportedly claiming that the business “has made unsolicited calls or sent emails about investing, financial advice, credit or loans,” while it does not possess either an Australian Financial Services license or an Australian Credit license from the ASIC. According to Finance Magnates, the flagged website of …

Cryptocurrency project OneCoin is denying claims that it is a “hybrid ponzi-pyramid scheme” and scam, news outlet Samoa Observer reported on May 14. OneCoin is purportedly a cryptocurrency Ponzi scheme project, that raised hundreds of millions of dollars worldwide by luring investors with the promise of big returns and minimal risk. An investigation by the United States found that the project’s founders had generated 3.353 billion euros ($3.769 billion) in sales revenue. In April, a church in the Pacific nation of Samoa became at the center of scrutiny after ministers had invited OneCoin to speak to its congregation. Notably, Samoa’s …

High-profile boxer Floyd Mayweather and music producer DJ Khaled have been dismissed from a lawsuit brought by investors in a fraudulent initial coin offering (ICO,) according to a court document filed on May 13. The celebrities had been involved in promoting Centra Tech’s ICO — but a judge has ruled that the investors who brought the legal action failed to prove they bought tokens as a direct result of the pair’s actions. According to the court document, Mayweather had posted tweets of himself holding the startup’s debit card along with the caption: “Spending bitcoins Ethereum and other types of cryptocurrency …

United States blockchain and crypto investor Michael Terpin has won $75.8 million in a civil case against 21-year-old Nicholas Truglia, who reportedly defrauded him of crypto assets. Reuters reported the news on May 10. Per the report, the California Superior Court last week ordered Manhattan resident Truglia to pay the amount above in compensatory and punitive damages. The amount is reportedly one of the largest court judgments awarded to an individual in the crypto space thus far, Reuters notes. As previously reported, Terpin filed the complaint against Truglia in particular in late December, after first filing a lawsuit against AT&T …

The United States Department of Justice released a fifteen-count indictment on May 9 that charges a hacking group labeled “The Community” with SIM swapping in order to steal cryptocurrencies. U.S. Attorney Matthew Schneider and his colleague from the U.S. Immigration and Customs Enforcement Angie Salazar announced the charges in the Eastern District of Michigan. Per Salazar, the investigation was led by Homeland Security Investigations on two continents. According to the indictment, five Americans and an Irishman are charged with conspiracy to commit wire fraud, wire fraud and aggravated identity theft. Another three, who reportedly are the former employees of mobile …

Former OneCoin investor Christine Grablis is suing the cryptocurrency investment scheme for fraud, according to a complaint filed on May 7. Grablis is seeking damages and a class action suit to represent other investors purportedly defrauded by OneCoin. The full list of defendants in this lawsuit — Grablis v. OneCoin Ltd. — includes OneCoin Ltd, Ruja Ignatova, Konstantin Ignatov, Sebastian Greenwood, Mark Scott, along with other potential parties who have yet to be named. According to a Bloomberg report on May 7, OneCoin founder Ruja Ignatova has been charged with wire fraud, securities fraud and money laundering; Konstantin Ignatova, Ruja’s …