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From fine dining to bankruptcy: Indonesian crypto scammers trick gullible investors
Many lured by promises of large profits amid desperation of COVID-19 pandemic.
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Rocketing: In recent years, the stock and crypto markets have gained immense popularity. The crypto market is also predicted to have an even greater potential in the future. (Unsplash/Jeremy Bezanger) (Unsplash/Jeremy Bezanger)
A
t the peak of the pandemic and economic meltdown two years ago, Bella, a 59-year-old Indonesian businesswoman who lives in Australia, saw hope in investing in crypto assets.
After receiving a large profit from investing Rp 1.2 billion (US$80,200) in crypto-agency Algopacks, she sold her house for Rp 5 billion to top her investment.
“It’s an investment for the future; you don’t have to do anything about it, just let it be and see the results in 20 years,” Bella told The Jakarta Post, recounting the moment she got hooked in.
But after three months, the agency, which was introduced to her by a friend, failed to make profit payments, and she cancelled the plan to add to her investment.
Established in 2018, Algopacks had offered various forms of crypto products with enormous returns to hundreds of people in an alleged Ponzi scheme. While they issued at least three known coins, the large profits investors received were suspected to come from new, unaware investors.
The Makassar District Court is currently running a trial of Sulfikar, a leader of Algopacks who allegedly has masterminded the fraud that had caused billions of rupiah in losses to hundreds of people.
Read also: Indonesia, Brazil lead the world in crypto adoption: survey
