FBI Extradites Mastermind of $290 Million Crypto Scam to US

Douver Torres Braga, the alleged architect of the $290 million Trade Coin Club Ponzi scheme, was extradited from Switzerland to the United States in February 2025, facing serious fraud charges.

The FBI’s operation marks a major breakthrough in tackling cryptocurrency scams, as Braga’s scheme reportedly defrauded over 100 000 investors worldwide between 2016 and 2018. Authorities say he could face up to 20 years in prison if convicted, sending a strong signal to crypto fraudsters globally.

The scam lured victims with promises of high returns from a nonexistent trading bot, amassing over 82 000 bitcoin valued at $295 million during its peak. Braga appeared in US District Court in Seattle on February 21, 2025, pleading not guilty to a 13 count indictment that includes wire fraud and conspiracy.

The Securities and Exchange Commission (SEC) had already charged him and three US promoters, Joff Paradise, Keleionalani Akana Taylor, and Jonathan Tetreault, in November 2022 for their roles in the multilevel marketing fraud.

• Global Scale: Trade Coin Club spanned 231 countries, with 126 000 members hooked by false profit claims.
• Personal Gains: Braga pocketed at least 8 396 bitcoin, worth $55 million then, per SEC findings.
• Promoter Profits: Paradise, Taylor, and Tetreault earned millions in bitcoin for recruitment efforts.

This case shows our commitment to protecting investors and dismantling crypto fraud networks.

said an SEC official in a statement.

The scheme’s collapse left countless victims empty handed, relying on new investments to pay earlier ones, a classic Ponzi setup. Braga’s extradition, detailed in a recent report, highlights the growing international cooperation needed to combat such crimes.

The Trade Coin Club fallout raises fresh questions about crypto regulation. With losses in the hundreds of millions and a victim pool stretching across continents, experts argue for tighter oversight.

Braga’s trial could set a precedent, influencing how authorities handle similar cases moving forward. For now, the industry watches closely as justice unfolds in Seattle.