UK Investigates $28 Million Cryptocurrency Collapse Amid Fraud Allegations

According to PANews, the UK's Serious Fraud Office (SFO) announced on Thursday that it is investigating a $28 million cryptocurrency project collapse following the arrest of two men on suspicion of fraud and money laundering. The SFO is urging investors to come forward with information. This marks the SFO's first major investigation into cryptocurrency. Basis Markets raised funds through NFT sales in late 2021 from two public fundraising events, using the proceeds to establish a cryptocurrency hedge fund. In June 2022, investors were informed that the project had failed due to proposed new U.S. regulations. The SFO has not provided further details. Earlier on Thursday, SFO investigators and police conducted raids in London and West Yorkshire, England, leading to the arrests. SFO Director Nick Ephgrave stated, "As we expand our capabilities and expertise in the crypto sector, we are determined to pursue those who attempt to defraud investors using cryptocurrency."