Austrian Fraudsters’ Crypto Scam Leads to Lavish Lifestyle and Major Convictions
A group of Austrian fraudsters, previously convicted, funded a lavish lifestyle through a major cryptocurrency scam that defrauded approximately 40,000 victims out of around $21.6 million (20 million euros).
Their extravagant purchases included a shark tank, luxury villa, high-end cars, private jet trips, and nights at exclusive clubs, as reported by Heute on October 23.
The scam revolved around investments in the EXW Wallet and EXW crypto tokens, promising daily returns of 0.1% to 0.32%. Although the scheme began in 2019, it started to collapse in 2020, leading to eight individuals being charged in September 2023 with money laundering and running a pyramid scheme.
By October 23, five had been convicted, with two receiving five-year prison sentences without parole and others getting shorter terms.
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Prosecutor Caroline Czedik-Eysenberg described the trial, dubbed “Austria’s biggest fraud trial,” as complicated, involving operations across multiple countries without extradition treaties.
The fraudsters used encrypted communications to hide their activities, and some transported cash in plastic bags to Austria. Additionally, separate charges are being pursued for a cannabis-related fraud that reportedly defrauded over 17,000 individuals of $17.2 million (16 million euros).
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
