RE: LeoThread 2024-12-31 08:23

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Vietnam Cracks Down on $1 Million Crypto Scam, Saving Hundreds from Financial Ruin

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In a fortunate move, the Vietnamese authorities were able to successfully dismantle a large-scale cryptocurrency scam orchestrated by a company called ‘Million Smiles,’ protecting nearly 300 potential victims from financial exploitation.

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The scheme, built around a fictitious token called QFS (Quantum Financial System), had already swindled approximately $1.17 million (30 billion VND) from around 400 individuals and 100 businesses.

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The fraudulent crypto operation relied on “aggressive” marketing tactics, including “false promises of financial freedom, exaggerated returns, and spiritual claims tied to ancestral treasures.”

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Victims were persuaded to invest amounts ranging from 4–5 million VND ($190) per individual to 39 million VND ($1,350) per business.

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Authorities reported that QFS tokens were advertised as an entry point into a revolutionary financial ecosystem, promising access to collateral-free funding and significant wealth.

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The Coordinated Police Raid That Led To The Bust

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As reported by Vietnam’s national television broadcaster, VTV, the Hanoi City Police uncovered plans for Million Smiles to host a promotional conference at Bao Son Paradise, Hanoi, on December 24, 2024, targeting over 300 participants.

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The event was set to amplify their deceptive campaign, luring more investors into purchasing the fraudulent QFS tokens

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Acting swiftly, the Economic Security Department intervened hours before the conference, preventing further damage.

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During the coordinated raid, law enforcement detained the General Director of Trieu Nu Cuoi Company (the parent company of Million Smiles) and seven key individuals linked to the scam

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Authorities seized crucial evidence, including financial records, promotional materials, and computers, revealing the extent of the fraudulent crypto operation.

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Initial investigations showed that Million Smiles had meticulously crafted an image of legitimacy.

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Offices were established in luxurious villas and prominent business districts, financed entirely through investor contributions.

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Online Zoom webinars were frequently hosted by company leaders, who painted extravagant visions of financial success tied to QFS ownership.

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They falsely claimed QFS tokens were backed by historic treasures and assets inherited from the “Ho Chi Minh Headquarters.”

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Victims, including small business owners and individuals from modest financial backgrounds, were drawn in by the promise of becoming dollar billionaires once QFS token values surged.

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However, investigators found that no tangible crypto assets or real backing existed behind QFS tokens, rendering them entirely worthless.

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Deceptive Tactics And Public Advisory From Authorities

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Further investigations revealed that the company’s leaders had no substantial financial assets of their own.

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Instead, funds collected from new investors were redirected towards maintaining the illusion of success, including the lavish branding of their offices and hosting large-scale promotional events.

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One victim, a resident of Yen Bai who relied on forest farming for his livelihood, invested 39 million VND in QFS tokens, believing in the promise of wealth.

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Months later, he received nothing in return. This story mirrors hundreds of others who placed their trust in Million Smiles only to face financial devastation.