Crypto Scam Exposed $50 Million Stolen Via Telegram OTC Deals

A multi-million-dollar over-the-counter (OTC) cryptocurrency scam was recently exposed, with over $50 million reportedly stolen through fraudulent token deals conducted via Telegram. The scheme targeted prominent figures in the crypto space, including venture capitalists, key opinion leaders (KOLs), and major crypto whales, and involved popular tokens such as SUI, NEAR, Axelar, and SEI.

The scam began with what appeared to be legitimate Tier-1 OTC deals shared in Telegram groups by VC circles and private investors. These deals promised tokens of high-profile projects like Graph, Aptos, SEI, and SWELL at discounts of up to 50% with a 4 to 5-month vesting period. The initial deals were executed flawlessly, building trust among investors who started investing larger amounts, convinced by the smooth process and growing hype.

As the scam progressed, Telegram groups saw an increase in OTC deals involving high-profile tokens, still offering deep discounts and the same vesting terms. However, by 2025, signs of trouble began to emerge. Eman Abio from the SUI team and Lucian Mincu of MultiversX issued public warnings on X, stating that there were no legitimate deals. Despite these alerts, most investors ignored the warnings, and the money continued to flow in.

The scam finally unraveled on June 1, 2025, when the final deal offering Fluid tokens was introduced. Shortly after, token distributions from earlier deals suddenly stopped. Investors were given excuses such as travel issues, exchange problems, and KYC delays. On June 19, Aza Ventures, the main VC group behind many deals, revealed that they too had been scammed. They disclosed that their main contact, “Source 1,” had been running a Ponzi scheme, using new investor money to pay earlier investors. The entire setup collapsed rapidly, exposing the full scale of the scam.

According to Aza Ventures, “Source 1” is of Indian origin and the founder of a project listed on Binance. Aza Ventures is negotiating with Source 1 to recover funds, with a deadline set for month-end. Ravindra Kumar, now identified as “Source 1,” denies all wrongdoing and claims that a full statement is forthcoming. However, Aza Ventures alleges that Kumar ran a Ponzi scheme and moved $24.5 million through wallets now linked to Binance. Aza Ventures states that only $100,000 remains, and Kumar is counting on future token launches to repay victims. As the investigation continues, the crypto community awaits clarity and the recovery of funds.

This case highlights the dangers associated with unregulated OTC trading on platforms like Telegram. Despite warning signs, trust and social hype made the scam convincing. The lack of due diligence by victims and the influence of prominent figures in the cryptocurrency community contributed to the success of the scam. The exposure of this fraud serves as a stark reminder of the need for increased vigilance and regulatory oversight in the cryptocurrency industry. Investors are advised to exercise caution and conduct thorough due diligence before participating in any token deals, especially in the unregulated OTC market.