Argentine authorities have arrested 24 individuals and seized more than 8 million USDT in what is being called the country's largest crypto-related enforcement operation to date.
Dubbed "Operation Fake Coins," the sweep involved 90 simultaneous raids across multiple jurisdictions. Officials also confiscated nearly 60 million Argentine pesos in cash, 80 mobile phones, and numerous computers and tablets.
The operation was coordinated by the Buenos Aires Attorney General's Office and the country's Crypto Asset Assistance and Coordination Group. Victims are estimated to have lost nearly 3 billion Argentine pesos, far surpassing previous crypto fraud cases in the nation.
How the scheme worked: Unregistered financial advisers recruited victims through WhatsApp and directed them to fake investment platforms. Once funds were collected, they were converted into USDT on Binance's peer-to-peer marketplace and transferred internationally, with Venezuela identified as a primary destination.
The operation marks a significant escalation in Argentina's fight against crypto fraud, exceeding the RainbowEx case from 2024 which involved seizures of over $2 million.
Argentina has one of the highest crypto adoption rates in Latin America, driven by chronic inflation and currency controls. The country continues to develop its virtual asset service provider framework, known as PSAV, aimed at establishing compliance standards for crypto businesses.