An Alicante court is currently investigating a cryptocurrency scam involving Russian citizens, with losses exceeding half a million euros. Two complainants have already testified, but there are believed to be numerous victims nationwide. The case, handled by the law firm Juan Carlos Navarro, estimates approximately 375 victims across Spain, collectively losing over 80 million euros.
Most victims are Russian nationals who relocated to Spain and sought to transfer their assets due to the economic restrictions imposed following the Ukraine conflict.
The investigation involves individuals connected to a 2022 kidnapping in PAU 5, Playa de San Juan, where victims were abducted by perpetrators posing as police officers. While the kidnapping case is separate, it shares links with the current scam. The alleged mastermind of the abduction claimed he sought to recover four million euros owed to investors through a platform managed by one of the victims.
Victims report that the scam followed a classic pyramid scheme model, where returns to earlier investors were funded by money from new victims. Payments ceased once new funds stopped flowing. Two women who paid €350,000 and €100,000 respectively for the cryptocurrency platform filed the current complaint, later discovering they could not recover their investments. Although the court initially dismissed the case, it reopened after the National Police’s Economic and Tax Crime Unit (UDEF) provided a report.
Victim Testimonials
One victim recounted selling her home in Russia and placing the proceeds in the cryptocurrency platforms Globixx and later Bittixx. These platforms promised interest payments simply for holding funds. The victim observed apparent profits on-screen but was unable to withdraw funds when she needed them to purchase a house in Spain.
“We didn’t invest to profit but to receive our money,” she explained, highlighting the scam’s reliance on trust. When attempts to retrieve her money began in November, excuses and delays followed.
Private detective Juan de Dios Vargas, a cryptocurrency expert, emphasized the need to prevent criminals from targeting life savings. He supports consolidating all related complaints under a single court at the National Court level.
Rise in Cybercrime
While overall crime in Alicante has decreased, cybercrimes and scams—often perpetrated via social media—are surging. Cristian Plazas, head of Communications for the National Police in Alicante, noted that traditional crimes like robbery are declining, while online scams, including fraudulent schemes involving social networks, are rising. Scammers often lure victims with small initial payments before soliciting larger sums, which fund other victims in a cyclical fraud model.
Another prevalent scam involves fake bank alerts designed to extract account credentials, resulting in significant financial losses. The growing sophistication of such crimes underscores the urgent need for increased vigilance and education in the digital age.
