Crypto pyramid scheme masterminds arrested in China
The suspects embezzled user funds of 100 million yuan ($15 million)
16.03.2022 - 14:25
858
1 min
0
What’s new? The law enforcers of China have reported the arrest of ten suspects in a cryptocurrency pyramid scheme’s organization. The Economic Investigation Team of the Shanghai Public Security Bureau (EITSPS) stated that the fraudsters created a scheme to deceive investors by promising them high returns and regular payouts. .
Information on the Baidu website
How did events develop? The Shanghai police investigated for six months. The law enforcers found that the network platform was created in June 2020, with a server installed outside the country and controlled by the suspect. Through the promotion, the promise of high profits as well as regular payments, the attackers were able to attract investors. In total, more than 60 000 user accounts and 72 levels of hierarchical relationships were registered.
What awaits the suspects? The court handed down a verdict in the case in the first instance under the law. According to the law, if more than 30 people are involved in an organization and the hierarchy exceeds three levels, the organizer or leader must be prosecuted.
Useful material?
Telegram 
Twitter Incidents
In a single week, hackers went after PHP websites, the Railway cloud platform and a medical company, and experts started talking about a crisis that is only just beginning.
Oct 28, 2026
Incidents
In 104 minutes, the attacker emptied 1,404 addresses before validators halted the network and froze almost all of the loot.
Oct 19, 2026
Incidents
Developers warned of potential risks to bridges across the ecosystem and asked exchanges for assistance.
Jun 22, 2026
Incidents
The defendant helped move funds stolen through investment scams and earned at least $4 million for his role in the operation.
Jun 10, 2026
Incidents
The company is linking the incident to a compromised private key on a service wallet, rather than a smart contract exploit
May 22, 2026
Incidents
Following the incident, the project temporarily halted trading operations and node activity.
May 15, 2026
Cryptocurrency rates
-
Bitcoin
$80 826
BTC
+0.25%
-
Ethereum
$2 336.39
ETH
-0.04%
-
BNB Smart Chain
$745.17
BSC
-0.39%
-
Ripple
$1.42
XRP
+1.04%
-
TRON
$0.331021
TRX
+0.41%
-
Zcash
$1 338.29
ZEC
+4.48%
-
Dogecoin
$0.079542
DOGE
+0.62%
-
Cardano
$0.218269
ADA
+2.11%
-
Stellar XLM
$0.184461
XLM
+2.83%
-
Bitcoin Cash
$288.36
BCH
+0.99%