New York: Arrest of Crypto Pyramid Organizer for Taming $43 Million
Date: 2024-05-03 Author: Oliver Abernathy Categories: CRYPTO PAYMENTS
In recent years, cryptocurrencies have become the object of attractive investments, but fraudulent schemes are sometimes hidden behind the mask of promised high returns. The latest example is the case of Idin Dalpur, a New York man who was detained on charges of running a crypto pyramid scheme and diverting more than $43 million.
Revival of the Crypto Pyramids
Idin Dalpour launched a crypto pyramid called Happycoin.club in 2020, attracting investors from the US and other countries under the slogan of receiving 42% per annum from crypto investments. The promises of high returns were enticing, and many participants agreed to invest in the hope of easy money.
Fall of Deception
However, as it turned out, all of Dalpur's promises were deception. Law enforcement discovered that he used the investments of new participants to pay profits to previous investors. Instead of investing funds for their intended purpose, Dalpur spent them on personal needs.
To maintain the perceived legitimacy of his scheme, Dalpur came up with various excuses for investors to try to justify non-payment of profits. However, when his deception was discovered, he faced inevitable detention and charges.
Consequences and Punishment
The U.S. Attorney's Office for the Southern District of New York is seeking severe penalties for Dalpur for defrauding investors. For those caught in his crypto pyramid scheme, this serves as a reminder of the risks of investing in cryptocurrencies and the need for caution.
Lesson for Investors
This incident is another reminder for investors to be vigilant and careful when choosing projects to invest in. In a cryptocurrency environment where scams disguised as get-rich-quick promises are not uncommon, prudence and caution can save you from big losses.
