Four people were detained by Vietnamese authorities for masterminding a cryptocurrency scam in which they used phony crypto-mining schemes to defraud victims out of $157,300.
On January 5, 2025, four people were arrested by Vietnamese police in Dong Nai Province for using crypto-related schemes to defraud more than 200 victims out of 4 billion Vietnamese dong ($157,300).
A local report identified the suspects, led by Tran Minh Quang, as the masterminds behind a Vietnamese crypto scam operating just outside Ho Chi Minh City.
They allegedly developed BitMiner, a phony cryptocurrency mining website registered under a Singaporean domain.
Vietnamese Crypto Scam Proceeds Transferred to Suspects’ Wallets
To look authentic, the group sold phony crypto-mining packages and educational materials under the guise of a Dubai-based business.
Additionally, they enlisted a number of accomplices to disseminate false claims regarding their investment prospects.
The scammers transferred all investments into wallets under Quang and his associates’ control rather than using the money for legal cryptocurrency mining.
In Vietnam, where authorities have recently discovered additional digital asset fraud networks, this arrest is a part of a larger crackdown.
One such network advertised a phony cryptocurrency known as the Quantum Financial System (QFS) coin, defrauding more than 400 people and 100 companies out of an estimated $1.17 million.
The group misrepresented the coin as an investment with a high rate of return that was supported by “ancient family treasures.”
🚨 Vietnamese police have dismantled a $1.17 million crypto scam, saving 300 potential victims from Million Smiles' fraudulent operation!#Vietnamese #Crypto #Scamhttps://t.co/AD4Pk3YXNf
— Cryptonews.com (@cryptonews) December 30, 2024
Fraudulent offers of capital support for business endeavors that did not require collateral or interest payments were used to lure victims.
The entire scope of the fraud was revealed when computers, documents, and other materials were found during a raid on the group’s headquarters.
Concerns Rise Over Vietnamese and Global Crypto Scam Networks
Efforts to combat crypto scams extend beyond Vietnam.
In Hong Kong, police recently arrested 31 individuals connected to a global fraud network that targeted victims across Taiwan, Singapore, Malaysia, and the United States, amassing 34 million Hong Kong dollars ($4.37 million).
Hong Kong: Deepfake Dating Crypto Ring Dismantled
— CR1337 (@cryptonator1337) January 6, 2025
Thirty-one people, including a Hong Kong Premier League football player, have been arrested in connection to a dating scam.
The perpetrators were using deepfake technology to lure people into investing in phony cryptocurrencies,… pic.twitter.com/WviLawAG7K
To create convincing fake identities, the scammers used AI deepfake technology. They frequently pretended to be attractive people in order to start romantic relationships online.
Victims were convinced to invest in fraudulent cryptocurrency platforms after trust had been established.
In the meantime, reports from late 2024 showed a worrying trend in Southeast Asia: thousands of Indian nationals were enticed by phony job offers that promised high salaries.
They were ensnared in cybercrime networks and coerced into engaging in fraudulent schemes after arriving in Vietnam, Thailand, Cambodia, or Myanmar.
These schemes included everything from fraudulent online dating to phony cryptocurrency investments.
Victims were coerced into creating deceptive social media profiles, often impersonating women, to solicit money from others.