The National Police of Ukraine reported the exposure of a criminal organization that, under the guise of training in cryptocurrency investments, deceived nearly a thousand citizens out of more than $1.1 million. Among the victims were pensioners, people with disabilities, and seriously ill individuals who lost funds saved for treatment or housing purchases.
Scammers Operated Under the Guise of a Crypto Academy
According to law enforcement, the defendants presented themselves as employees of the so-called "Ukrainian Financial Academy" and advertised courses on cryptocurrency investing through Facebook and Instagram.
After potential clients submitted applications, managers would assess their financial situation and gain their trust. Then, so-called traders would convince the victims to transfer money to controlled bank accounts and crypto wallets.
To create the illusion of successful investments, a fictitious platform displayed supposedly generated profits. In some cases, clients were even allowed to withdraw a small amount to encourage them to invest more funds.
When people tried to get their money back, access to their accounts was blocked, and they were asked for new payments—allegedly for fees or to replenish a reserve fund—to "unblock" them.
Victims Were Forced to Take Out Loans
According to police information, the scheme participants deliberately targeted people in difficult financial or life situations.
In particular, one of the victims, who was undergoing treatment for cancer, transferred about 500,000 UAH intended for treatment to the scammers. Other victims were persuaded to take out loans or invest family savings set aside for housing purchases.
Furthermore, the organizers used the victims themselves to find new targets. One client was convinced to record a positive video testimonial about the platform, which was later used in advertising materials.
According to the investigation, law enforcement identified 988 unique accounts that may belong to victims. The total amount of damage is estimated at approximately $1.11 million.
Organizers Detained
Investigators from the Main Investigative Department of the National Police, together with cyber police, conducted dozens of searches in the Kharkiv and Dnipropetrovsk regions and detained four key participants of the criminal organization.
According to the investigation's version, two co-organizers coordinated the scheme's activities, selected participants, distributed roles and received funds, while others were responsible for advertising and communicating with potential victims.
The defendants were notified of suspicion under Part 4, 5 of Article 190 and Part 1, 2 of Article 255 of the Criminal Code of Ukraine (fraud on an especially large scale committed by a criminal organization). The court has already ordered all suspects to be held in custody as a preventive measure. If found guilty, they face up to 12 years of imprisonment with confiscation of property.
Recall that in May 2025, we reported that Ukrainian police "earned" $2.2 million from kidnapping crypto businessmen.
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