Cryptocurrency Scam: More Arrests

The suspects emerged in an investigation by crypto trading site Coinhouse.eu. As the alleged owner of this trading location, they are suspected of embezzling customer funds and fraud. This investigation was carried out by the Financial Economic Crime Team in collaboration with the Cyber ​​Crime Team, the Digital Investigation Team and the IJsselland District Criminal Investigation Department. The investigation also involved collaboration with Tax and Customs.

Manipulation of cryptocurrencies

The 39-year-old suspect is said to have created his own cryptocurrencies (coins). The suspect then advertised the coin in hopes that people would invest. It happened on a cryptocurrency forum and via Twitter. Through this campaign, the man ensured that coins were bought by third parties (pump). He then himself sold so many coins in a short time that they became worthless (dump). The aim of this is to earn as much as possible in the shortest possible time. Such actions are known as pump and dump. Organizers of such pumps and dumps have inside knowledge and can thus deliberately mislead the ignorant. The man from Deventer is suspected of having ‘pumped and dumped’ his coins called ERSO, MALC, EUROP and TulipMania in this way. The police are investigating his involvement in this.

Attack

During the investigation, various vehicles, a house, several computers and cryptocurrencies were seized.

QR scam

The man from Deventer is also suspected of QR fraud. People were contacted by phone, allegedly on behalf of the bank, with the message that an international payment was ready, which could be stopped via a sent QR code. It was also sometimes said that the bank account contact details had been changed and this could be stopped with a QR code. The police investigation team has received several reports from victims who have transferred money through these QR codes. The police are warning against fraudsters who use this method. Such a code is also found, for example, in e-mails and letters that appear to come from a bank or other company. The accompanying QR code leads to a phishing website or payment page. Victims who share banking information such as login codes actually give cybercriminals access to the bank account.

Online dangers

More and more of our financial lives are happening online, criminals know it too. Criminals like to take advantage of new opportunities and people’s trust. The advice is to always be careful with links, codes or other ways to lead you somewhere.

Investing in crypto coins has been done more and more lately. It also ensures that malicious parties get involved. People who want to make a quick buck and leave the unsuspecting investor with the losses. Also in crypto trading, if an investment sounds too good to be true, it probably is.

  • Take a good look at which currency you invest in and who you trade with. Do not trust it when an unknown currency has increased in value in a short period of time
  • Paid advertising for an unknown cryptocurrency may indicate a pump
  • Do not believe in large profits that are promised too easily
  • The combination of time pressure and investing a lot of money is rarely a good combination
  • Private data is private, don’t share it

Victim Coinhouse.eu

People who have invested through Coinhouse.eu and believe they have been scammed can report this via 0900-8844.

^MvS/SV 2020532263

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Cryptocurrency fraud: more judgments

Deventer, Netherlands – On May 20, a 39-year-old man from Deventer was arrested on suspicion of large-scale fraud using self-made cryptocurrency. The police are investigating the man’s involvement in several cases. A 22-year-old man from Apeldoorn has also been arrested on suspicion of fraud and embezzlement. A warehouse in Zaandam was searched and a 41-year-old man was arrested. The warehouse contained several computers used to mine cryptocurrency, and there was also a problem with electricity theft. More sentences are not excluded.

The suspects came to the attention of the police in an investigation of the cryptocurrency exchange platform Coinhouse.eu. As the alleged owner of this exchange platform, they are suspected of embezzling customer funds and fraud. This investigation was carried out by the Financial Economic Crime team in collaboration with the Cybercrime team, the Digital Forensics team and the IJsselland District Crime Squad. Tax and customs administration also cooperated in the investigation.

Cryptocurrency manipulation

The 39-year-old suspect apparently made his own cryptocurrency (coins). The suspect then advertised the cryptocurrency in hopes that people would invest. This happened on a cryptocurrency platform and via Twitter. As a result of this campaign, the man ensured that coins were bought by third parties (pump). Then he personally sold so many coins in such a short time that they became worthless (dump). The goal was to earn as much as possible in the shortest time frame possible. Such actions are commonly known as pump and dump. Organizers of such pumps and dumps have inside knowledge and can use this to deliberately mislead unsuspecting investors. The man from Deventer is also suspected of having ‘pumped and dumped’ his coins named ERSO, MALC, EUROP and TulipMania in this way. The police are investigating his involvement in this.

season

During the investigation, various vehicles, a house, several computers and cryptocurrencies were seized.

QR code scam

The Deventer man is also suspected of fraud with QR codes. People were contacted by phone, allegedly on behalf of the bank, and informed that an international payment had been prepared which could be stopped via a submitted QR code. Sometimes it was said that the bank account contact details had been changed and this could be stopped with a QR code. The police investigation team has received a few reports from victims who have transferred money through these QR codes. The police are warning against fraudsters who use this method. Such a code can also be found, for example, in e-mails and letters that appear to come from a bank or other company. The QR code you get will lead to a phishing website or payment page. Victims who share banking information such as login codes are actually giving cybercriminals access to their bank account.

Online dangers

Our financial lives increasingly involve being online, and criminals know it too. Criminals like to take advantage of new opportunities and people’s trust. It is always recommended to be aware when it comes to links, codes or other ways of guiding you somewhere.

Recently, there has been increasing investment in cryptocurrencies. It also means that malicious people interfere with it. People who want to make a quick buck and leave the unsuspecting investor with the losses. If an investment sounds too good to be true, then it more than likely is when it comes to dealing with cryptocurrencies.

  • Look carefully at which currency you invest in and with whom you trade. Do not trust it if an unknown currency has shown huge increases in value in a short period of time
  • Paid advertising for an unknown cryptocurrency could identify a pump
  • Do not believe in large profits that are promised too easily
  • The combination of time pressure and investing a large sum of money is rarely a good combination
  • Private details are private, don’t share them

Coinhouse.eu victim

People who have made investments through Coinhouse.eu and believe they have been scammed can report this via 0900-8844 (from the Netherlands) or +31343578844 (international).

^MvS/SV 2020532263

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