RM6 Million Crypto Windfall Vanishes In Three Days

A cryptocurrency investment that appeared to turn RM800,000 into almost RM6 million within three days ended in a devastating reversal for a company director in Johor, who discovered that the apparent profits were part of a scam and that his original capital had also disappeared.

The man, who is in his 40s, was introduced to the opportunity after connecting with another individual through social media. The contact claimed that a company was preparing to launch a new cryptocurrency and was seeking investors, according to police.

The director was initially uninterested, but the person who approached him reportedly changed his mind by promising exceptionally large profits within a short period. The investor eventually transferred more than US$200,000, equivalent to about RM808,000, into several accounts to purchase the cryptocurrency.

For a brief period, the investment appeared extraordinarily successful. The value shown on the trading platform reportedly climbed to around RM6 million, representing growth of more than 700% from the amount initially invested.

The apparent windfall, however, could not be withdrawn. The investor was locked out of the trading platform after the balance reached the reported RM6 million level, while attempts to contact the broker also failed. He subsequently lodged a police report.

In a separate incident, a Felda settler lost almost RM800,000 after fraudsters allegedly posed as a deputy public prosecutor. The woman received a call from a man who threatened to arrest her over an alleged money laundering offence.

The pressure continued for almost four months, during which the victim followed instructions from the fraudsters and exhausted her available funds. She opened another bank account and handed over the ATM card and PIN, while also pawning jewellery to raise additional money. She eventually told her children about the situation before making a police report in Segamat.

Another case involved a 56 year old palm oil entrepreneur from Tangkak who lost RM245,403 after responding to an investment advertisement on TikTok. She was attracted by promises of substantial returns over a short period and subsequently made 18 transactions involving three bank accounts believed to be mule accounts.

The transactions took place between July 1 and Aug 22, resulting in the loss of more than RM245,000. Police are investigating the case under Section 420 of the Penal Code for cheating.

Authorities have urged the public to conduct proper checks before transferring money into investment schemes, particularly those offering unusually high returns with minimal effort. Police have also advised scam victims to contact the National Scam Response Centre at 997 as quickly as possible, as early intervention may provide a better chance of stopping funds from moving further through suspected scam accounts.