cryptocrime

The leading figures behind the IcomTech cryptocurrency project built an image of success through flashy lifestyles, luxury cars, and extravagant events. Behind the façade, however, was a classic Ponzi scheme that cost investors millions of dollars. One of the key promoters has now paid a heavy price for his role.
On Thursday, a U.S. court sentenced Magdaleno Mendoza to 71 months in prison for his involvement in a large-scale crypto fraud that primarily targeted Spanish-speaking working-class investors. Mendoza was one of the main promoters of IcomTech, a project that outwardly presented itself as a cryptocurrency mining and trading company.
According to a statement from the U.S. Attorney’s Office for the Southern District of New York, IcomTech launched in mid-2018 and collapsed by the end of 2019. Investors were promised guaranteed daily returns supposedly generated through crypto trading and mining. In reality, the operation functioned as a multi-level marketing Ponzi scheme, using funds from new participants to pay earlier investors while promoters siphoned off hundreds of thousands of dollars for personal use.

In addition to his prison sentence, Mendoza was ordered to pay $789,218.94 in restitution and forfeit approximately $1.5 million in assets, including a home in Downey, California, that had been purchased with proceeds from the scheme.
Investigators found that Mendoza was no newcomer to such operations. He had previously promoted at least two other crypto Ponzi schemes and was among the longest-serving promoters at IcomTech. He maintained close contact with the project’s founder, David Carmona, and played an active role in recruiting new investors.
Mendoza even used his own restaurant in the Los Angeles area to host promotional events, collecting thousands of dollars in cash from attendees. Promoters traveled across the United States staging lavish presentations, arriving in luxury vehicles and wearing designer clothing. Meanwhile, victims watched fictitious “profits” grow on internal dashboards to which they had no real access.
By August 2018, withdrawal requests began to face delays, excuses, and hidden fees. In response, IcomTech introduced its own internal token, “Icoms,” falsely marketed as valuable for future payments and investments. In reality, the token was worthless and only deepened investors’ losses.
According to Ari Redbord, global head of policy at blockchain intelligence firm TRM Labs and a former U.S. federal prosecutor, these types of schemes systematically exploit vulnerabilities within immigrant communities. Promoters often share the same language and cultural background as their victims, which lowers skepticism and increases trust. They also take advantage of limited access to traditional financial services and a lack of regulatory warnings in victims’ primary languages.
Redbord noted that a 71-month sentence aligns with how courts currently approach large-scale crypto Ponzi schemes, especially where there is clear intent, significant harm to victims, and sustained promotion. He added that courts today focus less on the label “cryptocurrency” and more on traditional fraud factors such as scale, duration, losses, and leadership roles.
Mendoza’s sentence was also influenced by his illegal presence in the United States. He had lived in the country unlawfully for decades, had been deported four times—once under a false identity—and continued promoting at least three additional crypto Ponzi schemes after IcomTech collapsed.
Several other co-conspirators have been separately convicted and sentenced for their roles in the scheme, including founder David Carmona, alleged CEO Marco Ruiz Ochoa, web developer Gustavo Rodriguez, and leading promoters David Brend, Juan Arellano, and Moses Valdez.
Redbord emphasized that repeat promoters remain one of the toughest challenges in combating crypto fraud. Many move from one scheme to another, rebrand their presentations, and target new communities across platforms and jurisdictions. The IcomTech case, he said, shows that even when promoters resurface, their past eventually catches up with them.

#Cryptoscam , #CryptoFraud , #CryptoInvesting , #CryptoCrime , #worldnews

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

The United States is preparing to crack down on the rising wave of cryptocurrency-related fraud. Two U.S. senators – Democrat Elissa Slotkin and Republican Jerry Moran – have introduced a new bill called the SAFE Crypto Act, aimed at creating a federal task force focused on preventing and investigating crypto fraud.

Goal: Strengthen Cross-Sector Cooperation
The proposed unit would be established within 180 days of the bill’s passage and would coordinate activities between government agencies, regulators, industry representatives, blockchain analytics providers, and crypto exchanges.
The task force would be responsible for:

🔹 Detecting and preventing fraud

🔹 Creating a cross-sector anti-fraud strategy

🔹 Gathering insights from all key stakeholders

🔹 Facilitating information sharing

🔹 Working to recover fraudulently acquired assets
The task force would meet at least three times a year and would be required to publish a comprehensive report within one year, outlining its strategies, findings, and any recommended regulatory or legislative changes.

A Coordinated Attack on Crypto Criminals
Lawmakers hope this bill will significantly improve coordination between state entities, regulatory bodies, and the private sector. The crypto world has been a frequent target of sophisticated attacks and fraud – with losses exceeding $53 billion since 2023, according to analysts.
By April 2025 alone, losses had already surpassed $1.7 billion – more than the total for all of 2024. These alarming figures have spurred urgent legislative action.

Industry Experts May Join the Team
Potential members of the task force could include specialists from blockchain security and analytics firms. Their role will be vital in identifying new fraud methods, proposing consumer protection measures, and helping law enforcement pursue international crypto criminals.

First Step Toward Broader Regulation?
The SAFE Crypto Act may only be the beginning. The bill expects the task force to recommend further legislative reforms, potentially leading to broader regulatory changes for the crypto industry. Emphasis is placed on swift responses, asset freezing, seizure, and dismantling of fraud infrastructures.
As cryptocurrencies gain traction and fraud techniques become increasingly advanced, this initiative could be a milestone in restoring investor confidence and protecting the integrity of digital finance.

#CryptoFraud , #blockchain , #DigitalAssets , #CryptoCrime , #CryptoRegulation

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

In 2017, the disappearance of 50 BTC might have seemed like a relatively small case. But today, this stolen stash is worth a staggering $4 million! And the shocking part? The suspect is an officer of the UK’s National Crime Agency (NCA), the very institution responsible for fighting organized crime.
Crime Within the Law – NCA Officer Accused of Bitcoin Theft
According to official reports, Paul Chowles (42) from Bristol has been charged with 15 criminal offenses, including theft, money laundering, and possession of criminal property.
The officer allegedly diverted 50 BTC into his own account during an ongoing investigation into online organized crime in 2017. At the time, the stolen Bitcoin was worth just $77,000, but today, it could cost him his career – and possibly his freedom.
Chowles is set to appear before Liverpool Magistrates’ Court on April 25, 2025, where the verdict on his case will be decided.
Why Is This Case So Shocking? ⚖️
1️⃣ Bitcoin turned into a treasure – Back in 2017, it was a relatively “small” catch, but today, it could buy him a luxury house in London. 😲🏡

2️⃣ A theft from within law enforcement – If proven guilty, this would be a major ethical scandal, raising concerns about the integrity of the UK’s crime-fighting agency.

3️⃣ NCA can now seize crypto without arrests – In 2024, the NCA was granted new powers to freeze, seize, and destroy cryptocurrencies linked to criminal activity – no arrests needed.
What Is the NCA, and Why Does This Matter?
The UK’s National Crime Agency (NCA) is responsible for tackling serious crime – from cybercrime to financial fraud. It’s meant to protect the public from illegal online activities, yet now, one of its own officers is accused of abusing his position for personal gain.
What Happens Next? ⏳
🔹 If Paul Chowles fails to defend himself in court, he could face serious consequences.

🔹 This case could impact crypto regulations in the UK, especially regarding oversight of agencies investigating cryptocurrencies.

🔹 What about the stolen BTC? Are they still in circulation? Or have they been transferred to an undisclosed account?

#CryptoCrime , #bitcoin , #CryptoNewss , #crypto , #CryptoScamAlert
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

У Санкт-Петербурзі 25-річний охоронець криптообмінного сервісу здійснив зухвале пограбування, викравши 11 млн рублів. Інцидент стався 16 серпня в бізнес-центрі на вулиці Чапаєва, 15. За даними ГУ МВС, зловмисник спеціально влаштувався на роботу в обмінник, щоб реалізувати злочинний план. Дочекавшись, коли в офісі залишиться лише один менеджер, він розпилив йому в обличчя перцевий балончик, забрав портфель із виручкою та втік.
На викрадені кошти чоловік придбав Mercedes-Benz Gelandewagen і вирушив до Московської області, сподіваючись сховатися у знайомих. Проте оперативники спільно з ГУ МВС Росії затримали його на автомийці в Павловському Посаді. Підозрюваний, житель Тосненського району, раніше мав судимість. Проти нього порушено кримінальну справу за статтею про розбій (ч. 4 ст. 162 КК РФ).
Цей випадок підкреслює вразливість криптообмінників до внутрішніх загроз і важливість посилення безпеки. Слідкуйте за новинами, щоб бути в курсі подій на крипторинку!
#CryptoCrime #Bitcoin #CryptoExchange #Blockchain #CyberSecurity #CryptoNews #Investing #CryptoSecurity #MiningUpdates
**Підписуйтесь на #MiningUpdates , щоб бути в курсі всіх криптоновин!**

In the 2025 Crypto Crime Report released by Chainalysis, the linked value of criminal Bitcoin addresses in 2024 dropped to an all-time low at just $40.9 billion, a dramatic reduction from the figures in the previous year. However, in all the general pessimism, there was some light at the end of the tunnel: the rate at which cryptocurrency activity could be linked to crime dropped to 0.14%, a significant reduction from 2023's 0.61%.
Binance at the forefront against crypto crime
While it could be the case that illegitimate inflows are still possible, they also point to an interesting trend: despite the meteoric increase in users, inflows, and market size, crime did not increase in proportion.
This represents a significant improvement in security in the world of cryptocurrency, indicative of the collective effort by the whole cryptocurrency community—users, exchanges, law enforcement, and influencers—working to build a world based on security, a future filled with promise and progress.
Binance, the leading exchange in the market, is at the forefront of this incredible progress. All effort resonates with the focus put into security and compliance, the same building block in whose foundation the company runs. Binance sets the benchmark in protecting users, developing tighter cooperation with law enforcement around the globe, and tightening mechanisms to control risks.
Investing for a safer future
At Binance, the doctrine of judicious expansion has long dominated, and in 2024, this was dramatically evident in the disbursement of hundreds of millions of dollars, beating the record-breaking expenditure from the previous year. The result? A team of 650 compliance professionals and a compliant infrastructure were in place to obtain 21 global compliance approvals, the most in the exchange's market.
These investments did so much more than simply make internal processes smarter; they created a path to a safer cyber monetary world. Binance's efforts, from improved security protocol on the site to forethoughtful notifications about possible threats, established the company as the market's model of trust.
Proactive prevention: the Risk Sniper channel
In 2024, Binance possessed tight control mechanisms to demonstrate how to be a good model to safeguard users from fraud and scams. A major component to this end was initiating the Binance Square of the Risk Sniper channel. The channel provided real-time notifications by monitoring high-risk addresses and links, making users feel secure and confident about the experience in cryptocurrency.
Know Your Scam
Beyond simply posting warnings, the channel also acted as an educational tool, spreading content in the form of security blogs and Know Your Scam events. Through the informative articles, the users were empowered to recognize and report the most current emerging scams, gaining the necessary tools to remain up to date.
Throughout their efforts, the Risk Team exhibited an unparalleled rate of efficacy, removing and disqualifying more than 1,000 threats from different posts. This great feat demonstrates Binance's great devotion to protecting the community from the dangers of harmful fraud. It also serves to demonstrate the extremely significant necessity to maintain good first defense—a principle in high regard by Binance in attempting to build a world economy to be safer and more secure.
Risk management
Binance’s comprehensive risk management frameworks underpinned the security and protection of users. More than 50 models built in 2024 to recognize scam activity, the majority in our P2P network, helped to bolster this. The models received frequent updates through 14 major iterations, to maintain the pace with the constantly updating strategies employed by the scammers.
Through the processing of enormous amounts of real-time data, the algorithms based on AI provided predictive recommendations and notified us about possible threats in advance, before any fake money movements. Behavioral profiling also helped to distinguish between normal and abnormal users' behaviors and support intervention in a more precise manner.
Significant impact
The impact was significant. Furthermore, this secured restitution to the scam's victims to the tune of $9.1 million, and blocked 47,000 phishing addresses. Thanks to real-time monitoring available to us, Binance could act in milliseconds, showcasing the efficacy of our AI-based risk-management strategy.
The security program effectively protected 2.8 million people globally from losing over $4.2 billion through the use of all-around strategies, such as anti-scam campaigns and consumer education.
Proactive Recovery
Binance's commitment to security went far beyond the simple act of prevention; it went the extra mile to support users in recovering funds misplaced, lost, or stolen. In 2024, through the tireless work of specialized teams, they were able to recover an astonishing total of $88 million in cryptocurrency associated with hacks, exploits, and theft, the vast majority external to Binance. So long as the tools are available to us, we will stop at nothing in the return of funds to our loyal users.
#Binance #CryptoCrime