Hanoi Police have successfully cracked down on a large-scale cryptocurrency fraud case, preventing 300 potential victims and recovering up to 30 billion VND.
On December 24, the Hanoi City Police successfully dismantled a sophisticated cryptocurrency fraud ring, protecting nearly 300 people from the risk of losing money and recovering an estimated 30 billion VND. The case is related to the company Million Smiles, which has defrauded about 100 businesses and 400 individuals through a counterfeit cryptocurrency called QFS (Quantum Financial System).
According to information from Vietnam Television (VTV), Million Smiles has used fraudulent marketing tactics, exploiting the "ancestral treasure" and "spirituality" factors to attract potential investors.
This company has made unrealistic profit promises, advertising QFS as the key to a superior financial ecosystem, allowing access to capital without collateral and interest. Their strategy targets both individuals and businesses, requiring investment levels from 4-5 million VND (around 190 USD) for individuals and up to 39 million VND (1,350 USD) for businesses.
Sophisticated Fraud Tactics
Million Smiles had planned to organize a large-scale event with the participation of 300 potential customers to further promote QFS. However, the authorities intervened in time, raiding the company's headquarters and seizing a large amount of documents, computers, and related exhibits.
Through the investigation, the police determined that QFS is a completely counterfeit cryptocurrency, not recognized by Vietnamese law. This timely intervention has helped protect 300 people from falling into the fraud trap and has also helped recover an estimated 30 billion VND that had been misappropriated from about 500 previous victims.
Previously, in October 2023, the Nghe An Provincial Police also successfully dismantled a transnational cryptocurrency fraud ring, arresting 5 related suspects. This ring, led by foreign individuals, used sophisticated fraud tactics such as "pig butchering" and investment in counterfeit cryptocurrencies to misappropriate billions of VND from domestic victims. A typical case was a victim in Ho Chi Minh City who was defrauded of more than 17.6 billion VND (700,000 USD) through a counterfeit cryptocurrency investment app called "Biconomynft".
