According to a ZachXBT investigator, a cryptocurrency project called Fintoch, which claimed to be backed by Morgan Stanley investment banking, took off with nearly $32 million of its users' funds.
In one of the threads, a crypto detective showed a diagram that detailed the movement of the funds. The on-chain detective claimed that the project likely conducted an exit scam.
The fund promised 1% daily interest on investments from users. However, users of the platform have begun to report that they are now unable to withdraw their funds from Fintoch.
In addition, although the project claims to be owned by Morgan Stanley, the investment banking firm denied any connection to the project in a statement. The company said Fintoch used its trademarks without any authorization and that it had no responsibility for transactions with the company.
The Monetary Authority of Singapore (MAS) also issued a warning against Fintoch in early May. According to MAS, the company "may have been mistakenly perceived to be licensed or otherwise authorized or regulated by MAS."
In addition, reports in March suggested , the image of the company's CEO, Bobby Lambert, actually belongs to a paid actor whose real name is Mike Provenzano.
In other news, the U.S. Federal Bureau of Investigation has issued a warning regarding the recent increase in fake job ads in the cryptocurrency industry. On May 23, the FBI advised U.S. citizens and those living or traveling abroad to exercise caution, as these fraudulent ads are often associated with human trafficking.
