On Friday, September 4, 2026, Sumsub reported that Ukrainian authorities have dismantled a sophisticated cryptocurrency scam network that defrauded individuals in over 20 countries.
The operation, which spanned multiple offices in Kyiv and its surrounding areas, was orchestrated by a 25-year-old IT specialist and reportedly generated up to $1 million monthly at its height.
Investigators identified 62 victims to date, with individuals from Germany, Poland, Lithuania, Latvia, Spain, France, the UK, Canada, and Israel among those affected. The scam involved fake cryptocurrency investment platforms promoted via Telegram, which directed users to websites designed to mimic legitimate trading platforms. Victims were led to believe their investments were growing, only to find withdrawals blocked.
The attackers further deceived victims by instructing them to connect their main crypto wallets and approve small test transactions. This approval granted the scammers access to a wallet drainer embedded within the fake sites, enabling them to transfer victims’ assets to their own controlled wallets.
During registration and verification, the platforms also collected sensitive personal information, including passport details, phone numbers, email addresses, login credentials, passwords, and photographs. A recovered database from Dutch servers contained victim records, stolen amounts, and internal communications, aiding the ongoing investigation.
Ukrainian authorities seized over 100 computers, 100 phones, 79 SIM cards, cash, and 15 vehicles during 34 searches. The investigation continues to identify further suspects, victims, and the total value of assets stolen.
Source: Sumsub
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