Share this article

Brazil's Bitcoin Banco Group and Leader Arrested for Alleged Embezzlement of $300M in Crypto

The operation was carried out on intelligence gathered over a three-year investigation into alleged fraud and and embezzlement scams.

Updated Sep 14, 2021, 1:21 p.m. Published Jul 6, 2021, 2:03 a.m.

Federal Police in Brazil have arrested members and a leader of the Bitcoin Banco group for their alleged involvement in an embezzlement scheme.

STORY CONTINUES BELOW

Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters

By signing up, you will receive emails about CoinDesk products and you agree to our terms of use and privacy policy.

In a press conference streamed live on Monday, police named businessman and self-proclaimed "Bitcoin King" Claudio Oliveira, as leader of the group.
The group is alleged to have embezzled R$1.5 billion (US$300 million).
Operation Daemon was conducted by around 90 federal police officers in Curitiba and the Metropolitan Region, according to a police press release on Monday.
The operation was based on intelligence gathered over a three-year investigation which alleges the group engaged in fraudulent scams and embezzlement.
In 2019, the group reported 7,000 bitcoin had gone missing and client withdrawals from the group's brokers ceased, sparking an investigation.
After which, the group filed for a judicial recovery – a type of exemption allowing an entity to pay creditors without filing for bankruptcy.
The fraud is alleged to have harmed thousands of investors.

More For You

Solana CME Futures Fell Short of BTC and ETH Debuts, but There's a Catch

Mar 18, 2025

When adjusted for asset market capitalization SOL's relative futures volume looks better, K33 Research noted.

What to know:

Solana's SOL futures began trading on the Chicago Mercantile Exchange (CME) on Monday, with a notional daily volume of $12.3 million and $7.8 million in open interest, significantly lower than the debuts of bitcoin (BTC) and ether (ETH) futures.
Despite the seemingly lackluster debut, when adjusted to market value, SOL's first-day figures are more in line with BTC's and ETH's, according to K33 Research.
Despite the bearish market conditions, the launch of CME SOL futures offers new ways for institutions to manage their exposure to the token, said Joshua Lim of FalconX.