DOJ extradites Brazilian to the United States over $290M crypto fraud scheme

A Brazilian citizen has been extradited from Switzerland to the US and charged with a $290 million cryptocurrency fraud scheme that operated between 2016 and 2021. The defendant, Dover Braga, allegedly ran a Bitcoin investment platform called Trade Coin Club (TCC), which authorities claim was a Ponzi and illegal multilevel marketing scheme. Braga and his accomplices allegedly promised investors profits from Bitcoin trading using sophisticated software and rewards for recruiting new members. However, the platform and software were fictitious. Investors, totaling around 126,000 across 231 countries, deposited approximately 82,000 Bitcoin, worth $290 million at the time. Braga allegedly misappropriated at least $50 million of this between December 2016 and July 2019. TCC ceased US operations in January 2018, canceling investor accounts. Braga also allegedly underreported his income to the IRS, claiming significantly lower earnings than the millions in Bitcoin he received. He pleaded not guilty to 13 counts of wire fraud and conspiracy and his trial is set for April 2025. He faces up to 20 years in prison for each count if convicted.