Is This the Most Absurd Bitcoin Scam of All Time? You Won’t Believe What Happened!

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So, picture this: a US court has decided that the CEO of a Bitcoin trading firm, Praetorian Group International (PGI), deserves a cozy little vacation in prison for the next 20 years. Why? Well, he was running a Ponzi scheme so large, it could probably fund a small country’s coffee habit. Yes, our dear friend managed to convince tens of thousands of people that they were going to make oodles of cash from cryptocurrency trading. Spoiler alert: they weren’t.

Over 8,000 Bitcoin In Palafox Scam Operation – DOJ

Meet Ramil Ventura Palafox, a 61-year-old dual citizen of the US and the Philippines and the mastermind behind this not-so-brilliant plan. The DOJ’s latest gossip reveals that ol’ Ramil, wearing many hats as chairman, CEO, and chief mischief-maker, marketed PGI as the holy grail of Bitcoin trading, promising daily returns that made your bank’s interest rates look like they were on a coffee break. But guess what? Turns out they weren’t trading Bitcoin at all, unless you count the trading of dreams and empty promises.

This wild ride lasted from December 2019 to October 2021, attracting around 90,000 investors who collectively forked over more than $201 million. That’s a whole lot of dollars and about 8,198 bitcoins valued at over $171 million at the time. But instead of making those sweet profits, Palafox was just playing a game of “who can keep the charade going the longest?” Investor payouts were funded by newer participants-classic Ponzi style!

To keep the show running, Palafox created an online portal that displayed fake investment performance data. Between 2020 and 2021, this little digital masterpiece consistently showed growing account balances. It was like watching your favorite soap opera-full of drama and completely unrealistic! No wonder investors thought their money was safe and sound.

Of course, it wasn’t all spreadsheets and fake smiles. Our boy Palafox managed to splurge approximately $3 million on 20 luxury vehicles. Because why not? He paired them with equally extravagant accessories, including watches and jewelry, proving once again that some people really should stick to Monopoly money. He was found guilty of wire fraud and money laundering-surprise, surprise! Now he gets to trade his luxurious lifestyle for a cell, where the only thing he’ll be laundering is his prison jumpsuit.

FBI Explores Potential Restitution For PGI Victims

Meanwhile, in a plot twist nobody saw coming, the FBI is on a mission to find all the victims of this Bitcoin disaster. They’re trying to identify individuals who lost money investing in PGI between 2020 and 2021. So if you think you might have been duped, don’t be shy-reach out and fill out their form. Who knows? You could be getting a little something back, even if it pales in comparison to what you lost. Total losses are currently estimated at a staggering $62.7 million. Ouch!

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2026-02-14 22:41