- Crypto scammer vanishes from NYC after $5M bond.
- IC3: FOMO-fueled crypto fraud losses hit $5.6B in 2023.
German national Horst Jicha, accused of running a $150 million crypto scam, has reportedly vanished from his New York City residence while on a $5 million bond.
Jicha, who claimed to offer lucrative cryptocurrency investments through his company USI Tech, now faces charges of securities fraud and conspiracy.
But when his ankle monitor mysteriously ceased functioning on October 3, he took the opportunity to skip out on a scheduled court appearance—leaving authorities scrambling to locate him.
Jicha’s alleged scam capitalised on promises of 140% returns from crypto investments, luring unsuspecting investors into a classic Ponzi scheme via the USI Tech platform.
According to FBI Assistant Director in Charge James Smith, “the platform was just a facade,” allowing Jicha to “steal millions of his investors’ money and flee the country.”
Crypto fraud rising
According to the latest FBI Internet Crime Complaint Center (IC3) report, crypto-related complaints skyrocketed in 2023.
It highlighted that there were over 69,000 reports of crypto fraud totaling losses of more than $5.6 billion.
While crypto complaints only make up about 10% of all financial fraud reports, they account for nearly half of total financial fraud losses.
The report also notes that the “fear of missing out” on crypto profits has made it easier for criminals to target consumers and retail investors.
