In this week’s Crypto Long & Short Newsletter, Jared Lenow’s insights on the DOJ’s increased focus on crypto seizures and what it means for the broader industry – the good, the bad and the ugly. Then, we dive into a year end vibe check with two observations, two predictions and reader favorite quotes from 2025 by Andy Baehr.
Authorities across Europe took down a massive crypto fraud and laundering network tied to fake investment platforms, deepfake ads and call-center operations.
The former FTX CEO, who is currently serving a 25-year sentence for fraud, has repeatedly claimed that the crypto exchange was solvent at the time of its bankruptcy.
The louder these companies protest regulation, the clearer it becomes that something’s off, argue Paradigm’s Katie Biber and Dominique Little.
A US investor says he lost $3 million in XRP after hackers emptied his wallet, and blockchain tracking suggests the funds moved fast through shadowy over-the-counter networks tied to Southeast Asia. Related Reading: Biggest Shiba Inu Burn In Months — And It Came From A Coinbase Account Funds Traced To OTC Networks According to blockchain sleuth ZachXBT, the stolen coins were first pooled into a single Tron address and then pushed through OTC services linked to an illicit marketplace known as Huione Guarantee. Reports have disclosed that Huione Guarantee is tied to a range of criminal activity, and that once funds enter those channels they are very hard to recover. The trace provides a clear record of movement on public ledgers, but it does not guarantee that law enforcement can follow the money to its final holders. 9/ Unfortunately the likelihood of this victim seeing any funds recovered is rather low due to a delay in reporting the theft to competent people within the private sector. I recommend victims try to report theft addresses to people as soon as possible as otherwise it can be… pic.twitter.com/Ficcit611f — ZachXBT (@zachxbt) October 19, 2025 Victim Says He Followed Best Practices Brandon LaRoque, the investor at the center of the case, told viewers that he had built his position over eight years and held about 1.2 million XRP. He posted a video this week explaining the loss, which has drawn wide attention online. “I thought I did all the things right,” he said, after describing how his Ellipal device turned out to be connected to the internet. The device maker, Ellipal, acknowledged that the seed phrase was imported into an app and said it was doing everything possible to help. Based on reports, the company suggested the theft followed a misuse of the seed rather than a flaw in a strictly offline product. A Human Cost LaRoque said he and his wife retired about a year ago and were planning to buy a house in Las Vegas. Now they say they may need to return to work. The loss is a stark example of how long-term small investors can be swept away by a single security lapse. The emotional impact is real. Many viewers on social platforms have offered help, but experts warn that public attention does not equal recovery. Experts Urge Caution On Recovery Firms According to ZachXBT, victims who want to pursue recovery must move quickly and seek competent private investigators, while avoiding predatory firms that promise guaranteed returns. Tracing on the blockchain can show where funds went next, and it can expose links to mixing services or OTC desks, but converting that trace into arrests or asset returns is complex. In the US, access to specialized crypto law enforcement is limited, which reduces the odds of successful recovery in many cross-border theft cases. Related Reading: Bitcoin’s Moment? Analyst Urges Traders To Swap Gold For Crypto Institutional Activity Rises As Retail Losses Persist Meanwhile, XRP has seen notable activity in regulated markets. Reports show more than 476,000 XRP futures contracts traded since May 2025, totaling $23.7 billion. Open interest has reached $1.4 billion, and the number of large institutional investors hit a record of 29. Featured image from Gemini, chart from TradingView
Qian defrauded more than 128,000 victims in China between 2014 and 2017, subsequently storing her spoils in BTC and fleeing to the U.K
Michael Shannon Sims, a founder and promoter of OmegaPro, and Juan Carlos Reynoso, who led OmegaPro’s operations in Latin America and some parts of the U.S.
Industry partners like Coinbase and Tether have assisted in large-scale recoveries, including $225 million in USDT tied to romance-investment scams
The investigation was supported by Europol, as well as police forces from Estonia, France and the U.S.
Anti-money laundering regulator AUSTRAC obtained data showing that 72% of all crypto ATM transactions are carried out by people over the age of 50.
Ngo Thi Theu was allegedly a key figure in a network that involved 35 officials and over 1,000 employees working across 44 call centres in Vietnam.
Smerkis worked for Binance from 2022 for just under two years.
Alex Mashinsky's lawyers rebuked the DOJ's request for a 20-year sentence and asked for a one-year prison term for the former Celsius CEO.
Crypto Whale Who Made Millions on Leverage Trading Is a Convicted Fraudster: ZachXBT
Brendan Gunn is the director of an Australian firm that facilitates investment in crypto and other overseas investments.
Criminals are no longer using BTC, but instead choosing stablecoins, the report revealed.
BitConnect's founder, Satish Kumbhani, is wanted in both India and the U.S.
Bitcoin investors must navigate a complex tax landscape, including understanding taxable vs. non-taxable transactions, key regulations by jurisdiction and ways to stay compliant.
The world’s largest illicit online marketplace keeps growing following the launch of its own crypto products, according to Elliptic.
Prosecutors are currently working to unlock four of Kwon’s cell phones provided by Montenegrin authorities.
The Revolut Pay enhanced due diligence API will be rolled out to crypto customers from start of 2025.
The judge ordered David Brend to report to a federal prison in Florida by Dec. 16 to serve his 120-month sentence.
Nepal’s Financial Intelligence Unit (FIU), in its Strategic Analysis Report 2024, revealed that the country’s blanket ban on crypto trading has become a significant obstacle for fraud victims seeking to report their cases to authorities. Digital Asset Ecosystem In Nepal At A Glance The FIU is a division of Nepal Rastra Bank, the country’s central […]
Judge Jennifer Rochon initially allowed a delay in Gustavo Rodriguez’s sentencing to allow additional testimony but ultimately ordered the IcomTech promoter to prison.
A gang of convicted Austrian fraudsters financed their luxurious life with money acquired from a giant crypto scam. Among other luxuries they purchased were a shark tank, a villa, a luxury car, private jet travels, and nights at club parties, Heute, an Austrian news outlet, reported on October 23. Around 40,000 people were reportedly victimized […]
The US Treasury has tapped into AI machine learning to sift through data to detect and prevent billions of dollars in check fraud.
According to US prosecutors, Juan Tacuri, and his co-conspirators, defrauded investors of $8.4 million in an apparent Ponzi Scheme.
Telegram’s agreement to set up an office in Kazakhstan aligns with the firm’s increasing compliance efforts as its CEO remains in France amid an ongoing investigation.
The United Nations recently issued a surprising report stating that Telegram has emerged as a major platform for criminal networks in Southeast Asia. This encrypted chat software has become a hotspot for money laundering, fraud, and the exchange of stolen data, according to the UN. The findings show that organized crime groups are using Telegram’s […]
Some service providers are facilitating transactions for fraud outfits and high-risk gambling sites, the report said.