The Brazilian police force has seized a total of 591 BTC, equaling 150 million Real (approximately $28.6 million) in a blockbuster with a fraudulent scheme.
Report from CNN Brazin revealed how the federal police force engaged in an investigative operation tagged “Operation Kryptos” on an alleged fraudulent financial pyramid scheme the led to the arrest of 5 persons and the recovery of about $3.63 million cash, together with 21 luxury cars, expensive watches, and jewelry while fulfilling the fifteen search and seizure warrants issued during the investigation.
The owner of a BTC consultant firm in the Cabo Frio Metropolis in the region of Rio de Janeiro, Glaidson Acacio, was among the arrested suspects. He has been suspected to be the gang leader of the fraudulent scheme where participants are promised 15% ROI but appeared to be another scheme to launder billions.
The suspects are scheduled to be presented to the court, but the defense counsel said, “while they know about the arrest, the case specifics are not made clear.” On the other hand, the police force has liquidated the crypto recovered for the sake of court presentation.
This case is not the first of its kind in the country. It was reported back in July of the police crackdown on a fraudulent scheme worth $150 million where over 7,000 investors were scammed. As a result of the investigations, the president of the Bitcoin Banco Group, Claudio Oliveira, was arrested for diverting the investment money illegally to his account.
There has been a brutal war between the federal police force in Brazil and activities involving money laundering through cryptocurrencies. The police force has begun Operation Compliance, an action to probe money laundering acts related to crypto. The operation is a derivative of the investigation that has to do with crypto-related illicit acts on the internet in 2018.
The investigation has cracked different fraudulent businesses that are laundering money by transacting among themselves. The Brazilian courts recovered about $33 million that belongs to Shell companies after six warrants were issued for search and seizure.
Currently, Brazil is not the only team fighting money laundering caused by cryptocurrencies heavily. The report revealed that the British police seized over $250 million worth of crypto assets in a money laundering-related investigation. The report revealed that July is still the biggest digital assets seizure in the world.
Irrespective of the investigations, the adoption of cryptocurrencies in the country is still increasing. The biggest crypto exchange in the country, Mercado Bitcoin, reported that the transactions facilitated on the exchange are about $5 billion in Q1 2021 compared to the total $1.2 billion recorded in the whole of 2020.
Noteworthy of mention is the interest of the country to follow the trail of El-Salvador in considering cryptocurrencies as legal tender. Brazil is also the second country after Canada to approve an Exchange-Trust Fund.