The Katerini Crime Investigation and Prosecution Sub-Directorate has uncovered a major cryptocurrency scam. After a months-long investigation, a criminal organization was dismantled that, according to the Greek Police announcement, had recruited at least 10,000 people, with the money flowing into its platform reaching approximately $8 million. 17 people were arrested, including nine military personnel, while two non-commissioned officers are alleged to have played a leading role.
The news was first reported by Proto Thema, while the official police statement was published by ERT. According to it, the members of the organization had been active since at least 2025.
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How the cryptocurrency scam worked
The organization did not give the impression of anything suspicious. On the contrary, it operated through legitimate companies and an online investment platform, which gave clients the impression that their money was “working” and yielding results. The main lure was a promise that seemed incredible, but for many it proved irresistible: doubling the initial capital in just 50 days.
The members of the organization systematically assured prospective investors of high and guaranteed returns with minimal or zero risk. The platform did not have the required license from the competent authority, something that investors rarely check. At first, they saw profits in their account, but, as reported by in.gr and Fortune Greece, their capital was not returned.
A pyramid scheme with 10,000 members
The investigation showed that the organization had set up a pyramid scheme. Those who brought in new investors received bonuses from the leaders, while some members had the exclusive job of looking for new “clients.” In such schemes, the money of the younger investors is used to pay the “profits” of the older ones, until the new inflows stop and the system collapses.
The organization's offices were located, according to reports, in Katerini, Thessaloniki, Larissa, Patras and an island in the Dodecanese. The scale of the case is also evident from the scope of the operation: police officers conducted coordinated searches in Pieria, Larissa, Mytilene, Patras, Ioannina, Komotini, Preveza, Attica and Kavala.
So far, 18 victims have been identified, who had invested a total of 55,970 euros through the platform. This number is expected to increase significantly, as authorities estimate that thousands of people have deposited money.
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Arrests and seizures
A total of 17 members of the organization were arrested in the operation, two of whom had leadership roles, while a case file was also filed against nine other individuals. Among those arrested are nine military personnel, and according to reports, the two alleged leaders are non-commissioned officers. The case file also includes one more member of the Armed Forces who was not arrested.
The searches were carried out in five offices, nine houses and other places. The police seized 32 mobile phones, 28 laptops and desktops, 15 tablets, 38 USB sticks, 16 hard drives, bank cards and SIM cards, a money counting machine, a camera recorder and cash worth 295,090 euros. A flare gun, three firecrackers and 26 metal pellets were also found in the possession of one of the arrested. The arrested were taken to the Prosecutor of the First Instance Court of Katerini and referred to the investigator, as reported by dnews.
The signs of an investment scam
Katerina's case shows that a cryptocurrency scam doesn't always come from strangers online. It's often suggested by an acquaintance, colleague or friend who has already "made money" and wants to get their bonus by bringing in new members. The SecNews technical team recommends paying special attention to the following signs:
- Guaranteed returns: no legitimate investment guarantees doubling your money, let alone in a few weeks.
- Reward for new members: if you earn by bringing others and not from the investment itself, it is a pyramid scheme.
- Lack of license: always check if the company is approved by the Securities and Exchange Commission or another European supervisory authority.
- Difficulty withdrawing: if the platform delays or imposes "charges" to give you your money, stop any new deposits immediately.
If you believe you have been a victim, report it to the Greek Police or the Cybercrime Prosecution Directorate at 11188 and keep all evidence: conversations, receipts of transfers and wallet addresses.
Frequently asked questions
How much money did the victims lose? Police say the platform received about $8 million. The final amount of losses has not yet been calculated, as only 18 of the thousands of potential victims have been identified.
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Can victims get their money back? The seizure of around €295,000 in cash is a first step, but this amount is far less than the total inflows. Those who invested in the platform should contact the authorities to register as victims.
The dismantling of the organization in Katerini reminds us that promises of easy and quick riches remain the most effective bait for scammers. The better an investment sounds, the more it is worth checking it out before giving even a single euro.
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