Crypto Scam Network Exposed in Spain with Over 5,000 Victims

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On June 25, Europol announced a major breakthrough as Spanish Guardia Civil, with support from law enforcement in the U.S., Estonia, and France, dismantled an international crypto fraud network that scammed over 5,000 victims across Europe and beyond.

The Fraud Operation

The criminal gang operated via a Hong Kong-based front company that posed as a legitimate Forex and crypto investment platform. The scheme laundered over €460 million (nearly $500 million), making it one of the largest crypto-related scams in Europe.

“Investigators suspect the criminal organisation of having set up a corporate and banking network based in Hong Kong… to receive, store and transfer criminal funds.” — Europol

Five individuals were arrested during raids in Madrid and the Canary Islands, with ongoing searches still uncovering new evidence. Europol’s forensic team and financial crime specialists were deployed on-site to support the investigation.

Global Law Enforcement Collaboration

The operation was a result of a year-long investigation launched in 2023. Agencies involved include:

• Spain’s Guardia Civil
  
• Estonia’s Police and Border Guard Board
  
• France’s New Caledonia National Gendarmerie
  
• U.S. Homeland Security
  

Europol’s Financial Crime Unit

This coordinated takedown highlights how international law enforcement is ramping up efforts to crack down on cross-border crypto crimes.

Europol’s Crypto Scam Alert

Europol has classified crypto investment frauds as one of the most dangerous and fastest-growing threats to the EU’s security. The agency warned:

“The scale, variety, sophistication, and reach of online fraud schemes is unprecedented… accelerated by AI, aiding social engineering and access to data.”

Why It Matters in 2025

Crypto scams and hacks have seen a sharp rise in 2025, targeting users through fake trading apps, AI-generated scam bots, and social engineering. Governments and agencies worldwide are issuing public alerts and blacklists of scam platforms to protect retail investors.

Stay Safe:

• Always verify crypto platforms.
  
• Beware of “too good to be true” returns.
  
• Report suspicious offers to local authorities or Europol.

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