Britain’s fraud office probes $36 million cryptocurrency collapse
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SFO investigators and police officers arrested two men after launching raids in London and West Yorkshire, northern England, on Nov 20.
PHOTO: X/@UKSFO
- The SFO is investigating the collapse of Basis Markets, a US$28 million crypto scheme, after two men were arrested for fraud and money laundering.
- Basis Markets raised funds via NFTs in 2021 to create a crypto hedge fund but blamed US regulations for its failure in June 2022.
- SFO Director Nick Ephgrave stated they will "pursue anyone who would seek to use cryptocurrency to defraud investors," urging victims to step forward.
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LONDON – Britain’s Serious Fraud Office (SFO) said on Nov 20 it was investigating the collapse of a US$28 million (S$36 million) cryptocurrency scheme, urging investors to step forward after two men were arrested on suspicion of fraud and money laundering.
In its first major crypto investigation, SFO said Basis Markets had raised cash from two public fund-raisers in late 2021 by selling non-fungible tokens and used the funds to create a crypto hedge fund.
In June 2022, investors were told that the project was being scuppered by proposed new US regulations, SFO noted.
SFO was not immediately able to provide further details.
SFO investigators and police officers arrested the men after launching two raids in London and West Yorkshire, northern England, earlier on Nov 20.
“With our expanding cryptocurrency capability and growing expertise in this area, we are determined to pursue anyone who would seek to use cryptocurrency to defraud investors,” said SFO director Nick Ephgrave. REUTERS
