Indonesia’s Criminal Investigation Agency (Bareskrim) has disrupted a major scam operation with support from the biggest crypto exchange Binance and Tokocrypto. The crucial effort led to the identification of multiple suspects marking a major victory against fraud. However, the operation ended in the seizure of around $200,000 in illicit funds.
Binance has mentioned that it is committed to joining hands with law enforcement agencies globally. In 2023, Its Financial Intelligence Unit (FIU) processed 58,000 law enforcement requests which is an increased number of 50,000 recorded in 2022.
Indonesia achieves a successful crackdown
As per the announcement, the investigation was initiated in November 2023 when Bareskrim’s probe targeted a suspected crypto trading website involved in a pig butchering scam. It is a deceptive scheme where victims are lured into investing under false actions.
It added that the authorities had arrested several individuals managing the accounts tied to the scam and seized around 50 mobile phones along with numerous local bank cards. Meanwhile, suspects refused to cooperate when questioned about the crypto wallets they controlled.
Bareskrim investigators used forensic analysis to uncover wallet addresses linked to the suspect. It was backed by supporting evidence found from their communications on platforms like Telegram. At the time of evaluation, screenshots of their chats revealed several key wallet addresses which led to linking the suspects to the fraud.
As mentioned, Indonesia’s Criminal Investigation Agency sought assistance through Tokocrypto which later referred the case to Binance’s FIU. This move led to further actions which included the investigation of data requests, the freezing of assets, and then the seizure of the funds in suspects’ accounts. The seized amount of $200k has been handed over to law enforcement.
Binance issues tips to avoid crypto scams
The biggest crypto exchange has already issued an advisory regarding the rising number of crypto scams and frauds that offer high returns on investment. It has counseled that blockchain transactions are anonymous and irreversible, so it is crucial to do your own research just to check the legitimacy of the project.
Binance even dropped several tips to identify such crypto linked scams. It stated that projects that claim to offer unrealistically high returns are more likely to be scams and a large number of participants jumping into a project doesn’t necessarily mean that it is valid.
