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Binance helped arrest a suspected ZKasino fraudster

Forklog / 08.05.2024 / 13:48
Binance helped arrest a suspected ZKasino fraudster

The Binance crime investigation team took an active part in the arrest of a suspect involved in the ZKasino blockchain casino scam. Details are provided by Cointelegraph.

In April, the developers of ZKasino sent 10,515 ETH for $33.9 million to the Lido betting protocol and changed the wording on the site, deleting the ETH refund statement. 

The coins were deposited by early participants to farm the native ZKAS token. 

On April 29, the Dutch Fiscal Information and Investigation Service detained a 26-year-old suspect. Property worth over €11.4 million ($12.2 million), including real estate, a car and cryptocurrencies, was seized.Digital media was also seized during the search of his apartment.

The arrested person is in custody for the duration of the investigation. He is charged with fraud, embezzlement and money laundering. 

Binance specialists studied smart contracts, and also used a combination of on-chain and OSINT tools to identify the account of the 26-year-old suspect.

It turned out to be the founder of the platform under the pseudonym Derivatives Ape. The specialists transferred the data to law enforcement agencies. The community played a significant role in the capture of the criminal, the company noted.

After the arrest of Derivatives Ape and the confiscation of cryptocurrencies belonging to it, some of the assets from ZKasino continued to move. This indicates that several other intruders are involved in the scam.

Recall that in May, the prosecutor's Office of the Northern District of California charged three former top managers of the Cred landing platform with conspiracy to launder money and fraud in the amount of $ 783 million.

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