Brazilian Extradited to U.S. for $290 Million Bitcoin Scheme Charges

user avatar

by Giorgi Kostiuk

2 years ago


Douver T. Braga, a Brazilian national, has been extradited from Switzerland to the United States to face charges related to a $290 million Bitcoin investment fraud scheme.

Extradition and Charges

According to a press release by the U.S. Department of Justice, Braga pleaded not guilty to a 13-count indictment accusing him of wire fraud and conspiracy in connection with the Trade Coin Club (TCC) operation while appearing before a U.S. District Court in Seattle on February 21, 2025.

Details of Bitcoin Fraud

Braga allegedly ran the fraudulent platform between 2016 and 2021 while residing primarily in Florida. Though TCC was registered in Belize, it attracted more than 126,000 investors from 231 countries, promising substantial returns through an automated Bitcoin trading system. However, U.S. investigators found no evidence that such a platform or trading software ever existed. According to the indictment, investors entrusted over 82,000 Bitcoin—valued at approximately $290 million during the scheme's active years—to TCC. Prosecutors claim Braga misappropriated a significant portion of these funds, personally transferring at least $50 million in Bitcoin to accounts under his control between December 2016 and July 2019. The fraudulent operation began to unravel in late 2017 as investors encountered difficulties withdrawing their funds. By early 2018, TCC announced the termination of its U.S. operations and abruptly cancelled user accounts, leaving many, including victims in Washington state, without access to their investments. Federal authorities have labelled TCC a classic Ponzi scheme, in which earlier investors were paid using deposits from newer participants rather than legitimate trading profits. Acting U.S. Attorney Teal Luthy Miller described it as a sophisticated deception that targeted victims globally. In addition to the fraud charges, authorities have accused Braga of major tax evasion, alleging he vastly underreported his cryptocurrency earnings. Investigators claim that despite receiving tens of millions of dollars in Bitcoin between 2017 and 2019, Braga declared only a fraction of his actual income. In 2017 alone, he reportedly received $30.5 million in Bitcoin while reporting just $152,298 in income.

It was a sophisticated deception that targeted victims globally.Teal Luthy Miller

Other Fraud Cases

In recent months, authorities have pursued similar cases worldwide. In October 2024, Austria concluded its largest-ever fraud trial, which centred around a sophisticated €20 million crypto Ponzi scheme. The trial, held at the Klagenfurt Regional Court, lasted 60 days and led to five convictions involving eleven suspects from Austria, Croatia, and Italy.

Braga now faces 12 counts of wire fraud and one count of conspiracy to commit wire fraud, each carrying a potential 20-year prison sentence if convicted.

Tier I

Sector: #18291

Sealed Cache Room

Resource Cache

Resource Cache

Tier I

Requires 25% Tier Progress to Claim
Meme Cache

Meme Cache

Tier I

Requires 50% Tier Progress to Claim
Equipment Cache

Equipment Cache

Tier I

Requires 75% Tier Progress to Claim

After collecting, caches will be stored in your inventory and can be opened with Keys.

Other news

Micron Stock Remains Bullish Amid HBM and DRAM Shortages

chest

Micron's stock forecast remains optimistic due to ongoing shortages in HBM and DRAM supplies, despite some analysts trimming their price targets.

user avatarAndrew Smith

AI Developers Call for Enhanced Cybersecurity Measures

chest

AI developers, including OpenAI and Anthropic, call for enhanced cybersecurity measures to combat the rising threat of AI-enabled cyberattacks on critical infrastructure.

user avatarJacob Williams

Analysts Predict Bitcoin Surge Could Benefit Shiba Inu

chest

Wall Street analysts predict that Bitcoin could reach 100,000 by the end of the year, which may positively impact Shiba Inu's price.

user avatarZainab Kamara

Shiba Inu SHIB Faces Price Correction After Brief Recovery

chest

Shiba Inu's price briefly reclaimed the 0000006 level but has since dipped to 0000005, indicating potential for further decline.

user avatarSon Min-ho

OpenAI Launches New Agentic Browser Feature for ChatGPT Work

chest

OpenAI has launched a new agentic browser feature in ChatGPT Work, allowing the AI to manage tasks on login-protected sites while maintaining session persistence.

user avatarAyman Ben Youssef

Surge in AI-Generated Vulnerabilities Threatens Bitcoin Security

chest

The Bitcoin Red Team reports a surge in AI-assisted vulnerability findings across Bitcoin projects, highlighting the urgency of addressing security flaws.

user avatarTando Nkube

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.