CryptoScandal

Crypto App Founder Sentenced to Additional 3.5 Years in Prison
Firoz Patel, the founder of a crypto payment app, has been sentenced to an additional 41 months in prison after attempting to hide 450 bitcoins that he was ordered to forfeit. The ruling was handed down by U.S. federal judge Dabney Friedrich in Washington, D.C., based on charges of obstruction of justice.
Attempt to Conceal Multi-Million-Dollar Assets
Patel attempted to hide bitcoins currently valued at over $43.5 million from the court handling his 2020 case. At that time, he had pleaded guilty to conspiracy to operate an unlicensed money transmission business and money laundering.

Back in 2020, he was sentenced to three years in prison and two years of supervised release for operating Payza, which, according to prosecutors, processed transactions in the U.S. without proper licensing. The platform was also allegedly used for money laundering and fraudulent schemes, including Ponzi and pyramid scams.
Manipulating Bitcoin Transactions
As part of his original sentence, Patel was required to identify and surrender all assets acquired through Payza. However, he falsely claimed to have only $30,000 in his retirement account.
After his conviction and before beginning his sentence, Patel started moving BTC linked to Payza. He first attempted to deposit the funds on Binance, but the exchange eventually shut down his account in 2021. He then opened an account on Blockchain.com under his father’s name and attempted to transfer the bitcoins there. When the exchange flagged the transaction, it froze the funds. Patel then instructed a business associate to submit false identification in an effort to unfreeze the assets.
Escape Plan Foiled by Investigators
While serving his sentence, Patel learned that investigators were tracking his hidden bitcoins. To avoid further prosecution, he hired an individual posing as a lawyer to deceive authorities and delay his release. He intended to flee the U.S. upon being freed, but investigators uncovered the scheme before his scheduled release.
Additional Penalties and Asset Seizure
Judge Friedrich not only imposed additional prison time but also ordered Patel to undergo three years of supervised release and forfeit assets worth over $24 million. Additionally, he lost claim to 450 BTC, which are currently held by Blockchain.com.

#bitcoin , #CryptoNewss , #CryptoScandal , #CyberSecurity , #cryptocurrencies

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Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

A Story of Hype, Greed, and Unprecedented Loss 😱

1️⃣ The Terra Crash: A $40B Vanishing Act
In May 2022, the crypto world witnessed an unthinkable collapse. Terra ($LUNA ) once the darling of decentralized finance lost $40 billion in market value in a single day. Trust shattered. Investors devastated. 🌪️

But what really happened? Let’s uncover the untold chaos that led to this catastrophic meltdown. 👇

2️⃣ What Was Terra (LUNA) and UST?
UST: An algorithmic stablecoin designed to stay pegged at $1 without actual reserves, relying instead on LUNA tokens.Sounds innovative? Sure. But this model was built on fragile trust and that trust crumbled spectacularly.

3️⃣ The Fatal Flaw: A “Stable” Coin That Wasn’t Stable
The system allowed swapping 1 $UST for $1 worth of LUNA. When the peg slipped, this mechanism became a self-destructive spiral instead of stabilizing the price. 🤯

4️⃣ Panic at Anchor: The First Domino
Massive withdrawals from Anchor Protocol which promised a too-good-to-be-true 20% yield on UST deposits triggered the crash.
UST started losing its $1 peg. Investors panicked. Markets spiraled. 📉

5️⃣ Death Spiral: LUNA’s Freefall
As UST plummeted, the system minted trillions of LUNA tokens to restore the peg. Instead, this tanked LUNA’s value from $80 to $0.0001, wiping out billions. 💥

6️⃣ Do Kwon’s Desperate Moves
The flamboyant Terra founder, Do Kwon, scrambled for solutions:
Minting more LUNA.Burning tokens.Deploying Bitcoin reserves.

It was too little, too late. The damage was irreversible. 💔

7️⃣ The Fork That Couldn’t Save Terra
Kwon proposed a blockchain fork to launch “Terra 2.0.” But with trust gone, investors fled. Legal probes followed, and the fallout was massive. ⚖️

8️⃣ Do Kwon’s Secrets Unveiled
Revelations emerged about Kwon’s control of key wallets and actions that led to the crash. His claims of decentralization? A façade. 🕵️‍♂️

9️⃣ Global Regulators Tighten the Grip
Terra’s collapse shook the global crypto market. Governments ramped up investigations into fraud and market manipulation. 🌍

🔟 Do Kwon’s Arrest: The End of the Road
In March 2023, Do Kwon was captured in Montenegro using forged documents. A fugitive no more, he now faces prosecution from multiple countries. 🔒

1️⃣1️⃣ The Lesson: Crypto Risks Are Real
The Terra fiasco exposed the dangers of:
Algorithmic stablecoins.Blind trust in speculative projects.

In crypto, everything can change in an instant. Stay informed, do your research, and never invest more than you can afford to lose. 🚨

🌍💡 The Terra collapse was a wake-up call for the crypto world. Let’s learn from it, stay vigilant, and move forward wisely.

👉 Follow @ThingsToKnow for more updates. Like ❤️, Comment 💬, and Share ➡️ this story to spread awareness!

#TerraCollapse #CryptoScandal #CryptoReboundStrategy

Ben Armstrong, known in the crypto world as "BitBoy", is back in the spotlight — but this time, not for market tips. He’s making headlines for all the wrong reasons after being arrested in Florida on March 25 following claims that a warrant had been issued for his arrest.

📩 “Warrant Issued Over Emails to Judge,” Armstrong Says
On March 21, Armstrong posted on X that he could “confirm there are arrest warrants” against him — allegedly due to emails he sent to Georgia Superior Court Judge Kimberly Childs while acting as his own attorney.
He also claimed that the judge deleted her social media accounts as a result of his messages. No information about Armstrong’s legal representation has been made available, and he has not issued any public comments since.

👮 Not His First Run-In With the Law
This isn’t the first time Armstrong has faced legal trouble. In September 2023, he was arrested during a livestream while confronting a former business partner he accused of holding his Lamborghini.
Earlier, in March 2023, he was also named in a class-action lawsuit for allegedly promoting Binance, which was accused of selling unregistered securities. The case was later settled in August 2024, with Armstrong and NBA star Jimmy Butler agreeing to pay $340,000 without admitting guilt.

🥋From Courtroom to Cage: Armstrong’s Crypto Fight Night
Aside from legal battles, Armstrong stepped into a very different kind of arena in February 2024, taking on pseudonymous memecoin developer "More Light" in a Karate Combat match in Mexico.
After three two-minute rounds, Armstrong won by unanimous decision. Despite the hype, More Light later stated there was “no bad blood” between them in real life and described Armstrong as a “good guy” in person.

🚫 BitBoy Brand Cuts Ties Over Alleged Misconduct
In August 2023, Hit Network — the company behind the BitBoy Crypto brand — officially severed ties with Armstrong, citing alleged substance abuse issues and unprofessional behavior toward staff.
Armstrong denied the accusations and called it an attempted takeover of the brand he helped build.

#CryptoDrama , #CryptoNewss , #CryptoScandal , #SEC , #CryptoNewsCommunity

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Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“

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$ETH
A political and financial firestorm has erupted in Argentina following allegations that President Javier Milei’s endorsement of the meme coin $LIBRE triggered a massive pump-and-dump scheme. The rapid collapse of the token wiped out hundreds of millions in investor funds, sparking national outrage and calls for impeachment. Now, the government is under intense scrutiny, and the crypto community is watching closely.$BNB

🔥 How It All Unfolded

🔹 Late Friday night, Milei took to X (formerly Twitter) to endorse $LIBRE, leading to an explosive surge in value.
🔹 The token’s price skyrocketed from $0.006 to nearly $5 in just a few hours, drawing in thousands of investors.
🔹 Within six hours, the coin crashed back to $0.84, igniting accusations of market manipulation.$SOL
🔹 Milei’s post was quickly deleted, but the damage was already done.

⚖️ Political Fallout & Demands for Justice

🔸 Opposition leaders, led by Leandro Santoro, have condemned the scandal as a national embarrassment, calling for Milei’s impeachment.
🔸 Former President Cristina Fernández de Kirchner criticized the incident, describing it as a deliberate financial trap that devastated retail investors.
🔸 KIP Protocol, the entity behind $LIBRE, denied government involvement, later revealing that Kelsier Ventures, headed by Hayden Davis, was responsible for launching and managing the token.

🔎 Investigations & The Road Ahead

✔ Milei has distanced himself from the controversy, claiming he had no direct involvement.
✔ The Anti-Corruption Office (OA) has launched an official probe into possible misconduct.
✔ A special Investigation Task Unit ($UTI) has been formed to examine potential insider trading and financial fraud.

With Congress in turmoil and investors demanding accountability, the coming days will determine whether Milei can weather the storm—or if this scandal will mark the end of his presidency. Stay tuned as this high-stakes political and financial drama unfolds! 🎭💥

The crypto world is wild, unpredictable, and sometimes downright bizarre. This past week, we've witnessed events that even Hollywood screenwriters couldn't dream up. From an unexpected live stream disaster, to a viral dog marketing stunt, and even political turmoil tied to crypto.
Here’s a breakdown of the six craziest moments that rocked the market!
1. NEAR Protocol’s Accidental NSFW Livestream – Token Pumps 6%
In the crypto world, any publicity is good publicity – and NEAR Protocol just proved that.
During a public conference call, a former NEAR Protocol manager accidentally live-streamed explicit content. What was supposed to be a routine meeting turned into an awkward viral moment that spread across the crypto space in minutes.
The result? NEAR’s token pumped 6%.
Apparently, in crypto, scandals make for bullish price action! 🚀📈

2. Vitalik Buterin Tweets About Communism – ETH Pumps 5%
Ethereum’s co-founder, Vitalik Buterin, is known for his deep thoughts on decentralization, but this week, he took things in a different direction. He tweeted:
🟥 "Make communism great again Milady." 🟥
ETH’s price immediately jumped by 5%.
Who would have thought that communism could be bullish?! 😆

3. CZ Doxxes His Dog "Broccoli" – BSC Goes Crazy 🐶🥦
Former Binance CEO Changpeng "CZ" Zhao pulled off a surprise marketing stunt by introducing the world to his dog, Broccoli.
The goal? Bring more liquidity to Binance Smart Chain (BSC).
And it worked like magic – within hours, over 1,000 "Broccoli"-themed meme coins were launched!
Turns out, even a dog can pump the crypto market. 🐕💰

4. Central African Republic President Launches a Token – Then It All Falls Apart 🌍💸
The President of the Central African Republic announced the launch of a new token via Twitter.
Investors rushed in, pumping its value to $500 million.
Then, suddenly:
🚨 The official Twitter account was suspended.
🚨 The project’s website went offline.
🚨 Concerns about token supply manipulation emerged.
Within hours, the token crashed 96% – another reminder that political crypto projects can be risky AF. 🤦‍♂️

5. Argentina’s President Milei Launches LIBRA – The Pump and the Dump
Argentine President Javier Milei launched a new token called LIBRA, which soared to a market cap of $4.5 billion in no time.
But what happened next?
👀 Developer wallets started draining liquidity, pulling out over $87 million.
📉 LIBRA’s price crashed by 90%.
This turned into one of the biggest crypto rug pulls of the year.

6. Impeachment Incoming? Milei Under Investigation for LIBRA
Just days after LIBRA’s collapse, rumors started flying about a possible impeachment for President Milei.
Independent crypto sleuths are investigating potential ties between Milei and crypto insiders who helped launch LIBRA.
The result? One of the biggest political-crypto scandals of the year – and possibly, the first-ever impeachment triggered by a meme coin. 🏛️🔥

What’s the takeaway?
This week in crypto was a rollercoaster of insanity, proving once again that this space has no rules, only vibes.
🔹 Scandals pump tokens.
🔹 One tweet can move markets.
🔹 A dog named Broccoli can spark a meme coin frenzy.
🔹 Politicians are jumping into crypto – and it’s not always ending well.
What do you think about this week’s craziness? Which event shocked or entertained you the most? Drop your thoughts in the comments! ⬇️💬

#CryptoScandal , #CryptoNewss , #nearprotocol , #JavierMilei , #VitalikButerin

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Notice: This article is for educational purposes only and should not be considered financial or investment advice. Cryptocurrency investments carry risks and may result in financial losses.

Hayden Davis, the controversial figure behind the LIBRA meme coin, is once again in the spotlight—this time for his alleged involvement with WOLF, a new token that has sparked concerns over insider manipulation.
Blockchain analysis by Bubblemaps revealed that 82% of WOLF’s supply was controlled by a small cluster of wallets, raising red flags about potential market manipulation. This revelation comes as Argentine authorities continue investigating Davis for his role in the LIBRA scandal.
Davis launched WOLF around the same time rumors surfaced that Jordan Belfort, the real-life "Wolf of Wall Street," was introducing a meme coin under the same name. The buzz caught the attention of traders, especially within the WallStreetBets (WSB) community, pushing WOLF’s market cap to $40 million. However, as seen with Davis' previous projects, the token’s price soon plummeted, leading analysts to suspect a rug pull.
Bubblemaps tracked WOLF’s funds moving through 17 wallets and five different blockchains before landing in a wallet tied to Davis. The similarities between WOLF and his past projects—MELANIA and LIBRA—fueled speculation that Davis has been orchestrating a pattern of coordinated token launches followed by crashes.
Davis has a track record of high-profile meme coin scandals. LIBRA, one of his most infamous tokens, skyrocketed past $4 billion after receiving a brief endorsement from Argentine President Javier Milei, only to collapse shortly after. Blockchain investigators found that insiders who had acquired large amounts of LIBRA before Milei’s endorsement cashed out over $100 million, leaving retail investors with devastating losses.
Following the LIBRA fallout, Davis admitted to his involvement and also confessed to launching a meme coin linked to former U.S. First Lady Melania Trump. His repeated role in meme coin controversies has attracted legal scrutiny, with Argentine lawyer Gregorio Dalbon even calling for an Interpol Red Notice that could lead to Davis’ arrest and extradition.
Critics argue that Davis’ continued involvement in the crypto space underscores the lack of oversight in meme coin projects. The rapid launch of tokens tied to high-profile names has become a recurring strategy—creating market hype before an inevitable crash. While traders continue to be drawn to the speculative nature of meme coins, the pattern of insider-driven price collapses has raised serious concerns.
With mounting legal pressure, it remains 1uncertain whether Davis will face consequences for his actions. While some believe that investors should exercise caution before diving into speculative tokens, others are pushing for stricter regulations to curb high-profile manipulations like the ones Davis has been accused of orchestrating.
The WOLF saga is yet another reminder of the risks and volatility within the meme coin market. As authorities increase scrutiny on such schemes, the future of unchecked meme coin launches may soon be in question.
#CryptoNews #MemeCoins #WOLF #LIBRA #CryptoScandal
$MEME

Richard Heart Wanted in Finland for Tax Evasion and Assault
Richard Schueler, known as Richard Heart and founder of Hex, is facing allegations of tax evasion and assault in Finland. Police have seized 20 luxury watches, including several Rolexes, valued at over $2.6 million.
Watches Found in Residence in Espoo
The watches were confiscated from a residence in Espoo and have a combined value of $2.68 million, based on receipts and expert appraisals. Some of the watches were purchased in Finland, while others were sourced from the United States. Detective Harri Saaristola stated that the police tracked the watches through intelligence activities.

Accusations of Tax Fraud and Assault
Schueler is accused of tax evasion between June 2020 and April 2024, as well as an assault in February 2021. One of the charges includes an attack on a 16-year-old victim, whom he allegedly grabbed by the hair, dragged to a staircase, and threw to the ground.
Interpol Issues Red Notice
On December 22, Interpol issued a “Red Notice” for Schueler, an international request for arrest. Additionally, he was placed on Europe’s most-wanted fugitives list, with detailed descriptions of the same charges.
Massive Tax Debts and Unclear Whereabouts
Schueler’s tax debts reportedly amount to hundreds of millions of euros. In 2023, the Finnish government estimated his income at €15.2 million ($16.9 million). Despite his unknown location, Schueler remains active on social media, promoting his cryptocurrency HEX and uploading videos to YouTube.

Charges from the U.S. SEC
Beyond Finnish authorities, Schueler also faces charges from the U.S. Securities and Exchange Commission (SEC). In July 2023, the SEC filed a lawsuit against him over three tokens issued by his companies – Hex (HEX), PulseChain (PLS), and PulseX (PSLX). According to the SEC, these are unregistered securities that raised over $1 billion.
The SEC also alleges that some of these funds were misused for personal acquisitions, such as a 555-carat diamond, luxury watches, and high-end cars.
Conclusion
Richard Schueler faces serious allegations and international pursuit. Finnish authorities continue their investigation, while charges from the SEC and other agencies further increase pressure on the Hex founder.

#CryptoNewss , #CryptoScandal , #CryptoFraud , #HEX , #cryptocurrency

Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“