Governments around the world find crypto scams a real pain in the neck. It costs a lot of money, and the scammers use sophisticated technology to make it work. Two companies that were involved in crypto-related fraud have been shut down by British authorities.

Authorities claimed that the accounts of these two companies were used in a PS1.3million crypto scam.

Micasa had approximately PS1.3 million flow through its accounts between February 2019, when it began operations, and December 2020, according to a probe by the Insolvency Service.

Micasa, Remultex and their affiliated company were forced to cease operations following huge payments and misused of Bounce Back Loans,” read part of the press release.

Judge at Manchester High Court ruled that it was necessary to close the companies involved in the crypto-scam to protect the public.

The judgment found that the companies violated trade laws and operated without commercial “probity,” which resulted in illegal money transfers.

David Hope, chief investigator for the Insolvency Service, responded to the incident by stating that steps would soon be taken to collect the assets of the company and return them to creditors.

Remultex received payments by three additional firms, totaling approximately PS250,000 as of December 2020. This is in addition to the Micasa Bounce Back Loan money.

Over the last year, cryptocurrency adoption has increased exponentially. Despite the rapid growth, criminal activity has increased in connection with bitcoin.

Crypto Scam nets $14 Billion
The use of cryptocurrency is growing faster than ever. Chainalysis’s 2021 total transaction volume for all cryptocurrencies increased 567 percent to $15.8 Trillion, compared with 2020 figures.

Fortune reported in January that criminals involved with crypto scams stole an unprecedented $14 billion in cryptocurrency. This represents a nearly 80% increase over the previous year.

Chainalysis reports that transactions using illegal addresses accounted only for 0.15 percent of all cryptocurrency transaction volume last year, despite criminal transaction volume at an all-time high.

Law enforcement agencies have taken measures to stop these illegal activities and protect the safety of UK investors.

Hong Kong, however, is home to the most crypto-aficionados.

The number of cryptocurrency frauds in the financial district has increased significantly according to the latest reports. About 25% of these frauds involve crypto assets.



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Angie Byrd