Sign Up on MEXC
Highlights
- The US DOJ charged two Chinese nationals involved in a crypto scam.
- According to the DOJ, victims lost as much as $73 million.
- Both men face charges of conspiracy and money laundering.
The United States Department of Justice (DOJ) has charged two Chinese nationals involved in a $73 million crypto scam. In a May 17 announcement, the DOJ explained recent developments in the case after the arrest of the suspects.
Daren Li, a citizen of China and St. Kitts and Nevis was arrested in April at the Atlanta airport while Yicheng Zhang was apprehended in Los Angeles on May 16, Reuters reported citing unsealed documents in the United States District Court.
Both men are accused of defrauding victims up to $73 million in a pig butchering crypto scam model which has gained notoriety in recent months.
Defendants Could Face 20 Years on Each Count
According to the recent statement, the defendants are charged with conspiracy to commit money laundering in addition to six counts bordering on international money laundering. If found guilty, both men could face a potential 20 years in prison on each count.
Lisa Monaco, the US Deputy Attorney General noted that bad actors who commit crypto fraud are not beyond the reach of authorities despite the ever-changing nature of crimes. “While fraud in the crypto markets takes on many forms and hides in many far-off space places, its perpetrators are not beyond the law’s reach.”
The defendants allegedly instructed co-conspirators to open US bank accounts through the companies while victims were told to transfer funds to these accounts.
Crypto Scam: Regulators Mount Pressure
Recently regulators have heightened efforts to curb crypto scam and related incidents in the market. This can be seen in proposed regulations and industry guidelines rolled out by authorities. While efforts are hailed to protect investors and preserve digital assets, some regulations could become a stumbling block to the sector’s development.
A good example is the present regulatory uncertainty in the United States which has led to several lawsuits between the Securities and Exchange Commission (SEC) and crypto firms.
Also Read: Did Google Just Invest In An XRP Ledger (XRPL) Startup?
- Michael Saylor Credits Bitcoin for Strategy’s Outperformance Over ‘Mag 7’ Stocks
- XRP Overtakes Shopify, Verizon, Citigroup in Market Value as Price Eyes $6
- Altcoin Season Index Hits New High As ETH, SOL, DOGE, and XRP Rally
- ‘Huge Breakthrough,’ Peter Brandt Says as Dogecoin Reclaims $0.30 Ahead ETF Launch
- Bitcoin Bull Cycle Could Extend To 2026, Arthur Hayes Predicts
- Bitcoin Price Prediction: Q4 Rally Looms as ETF Inflows Hit $642M—Analyst eyes $150K
- Pepe Coin Price Prediction as the Token Jumps Nearly 20% – Will Whale Accumulation Take it to $0.00003?
- Pi Coin Price Prediction As Adam & Eve Pattern Signals Breakout Rally To $0.45 Ahead
- HBAR Price Prediction Amid DTCC Listing and Archax Expansion — Is $0.50 Next?
- Ethereum Price Eyes a 40% Surge as Morgan Stanley Shifts Fed Cuts Forecast
