Brazil ends a $ 210 million scam

The Brazilian authorities have just done a big blow, because the federal police of the country was able to put an end to one of the most important cryptocurrency scams in the region.

A $ 210 million Ponzi scheme

The police of Brazil was able to apprehend 10 individuals related to a pyramidal scam of crypto-currencies. They allegedly participated in a fraud of 850 million Brazilian reals (BRL), about 210 million dollars.

The tax authorities also had their role to play in this exceptional arrest.

According to the result of the investigation, 13 people and 5 legal entities are linked to the fraud called "Indeal".

The pyramid scheme was able to provide a return on investment of 15% after the first month of investment.

According to the report of the tax authorities and the local police, 55,000 citizens have already been fooled.

Unfortunately, this large-scale operation is part of a long list of fraud related to virtual currencies.

The suspects would have lured unsuspecting investors. Instead of investing in crypto-currencies as promised, they spent their earnings on real estate, luxury cars and other property.

Australia faces a similar problem

The Australian Securities and Investments Commission (ASIC) has warned Australian citizens about two dubious companies.

Dartalon and GFC Investments are at the head of the same fraudulent program as that of Brazil.

These companies have not been given the green light by local authorities to launch websites while the platforms are now functional and available to the general public.

The ASIC reacted quickly after unmasking the scam.

While Brazil has only recently found the joke, the Australian regulator has been vigilant to find out in time.

The Brazilian pyramid scheme targeted several victims for $ 2 million before drawing the attention of the federal police.

According to Dalmolin Boliis, an officer in the Office of Corruption and Financial Crimes of the Federal Police, the lack of proper regulation has greatly contributed to the proliferation of the scam.

"The problem with this company is that it was acting without authorization," said Boliis.

What do you think of the arrest of the suspects of one of the biggest cryptocurrency scams in Brazil?Comment in the comments section below.