European regulator exposes cryptocurrency fraudsters who laundered € 700 million through fake crypto exchanges

Europol has announced the successful completion of a large-scale operation to dismantle an international network of crypto criminals who laundered more than € 700 million through fake crypto platforms. The investigation, which lasted several years, covered Germany, Spain, Cyprus, Belgium, France, Malta, Israel and a number of other EU countries. As a result of law enforcement cooperation, a complex structure was uncovered that deceived thousands of investors by promising high profits from trading digital assets.

According to the investigation, the fraudsters' activities began with a single fake website, which later grew into a network of fake trading platforms. Victims were attracted through aggressive online advertising and fictitious reports of investment success. Users were persuaded to deposit ever larger amounts by showing «profits» on fake accounts. In fact, the funds were transferred to crypto exchanges and through various blockchains, where they were laundered and dissolved among anonymous transactions.

The operation took place in two stages. The first was on October 27, 2025, when simultaneous raids took place in Cyprus, Germany, and Spain under the coordination of Europol and at the request of the French and Belgian authorities. Nine suspects were detained and seized:
— € 800,000 in bank accounts;
— € 415,000 in cryptocurrencies
— € 300,000 in cash;
— a collection of expensive watches, electronics and financial documents.

The second stage lasted from November 25−26, when searches took place in Germany, Belgium, Bulgaria and Israel. This time, law enforcement focused on marketing companies that promoted fraudulent schemes on social media. They distributed advertisements using deepfakes and fake images of famous people and media to make the campaigns believable.

Europol emphasized that the scale of the crime was unprecedented: through a complex network of cryptocurrency exchanges, the criminals laundered hundreds of millions of euros, using the anonymity of digital assets to mask illegal flows of funds. The investigation is ongoing, and the EU is already preparing new initiatives to strengthen control over financial transactions in the crypto sector.