The FBI has charged three UK nationals, Mohamed-Amin Atch, Mohamed Rilaz Waleedh, and Daood Hassan, all 23, with conspiracy to commit wire fraud and money laundering in a $2.7 million NFT scam called "Evolved Apes." They allegedly deceived investors by promising that funds from the NFT sales would develop a video game and support various charities. Instead, the funds were diverted to their personal accounts.
This type of scam, known as a "rug pull," involves promoting and selling a digital project, collecting funds, and then disappearing. The promised video game never materialized, and the project's anonymous developer, Evil Ape, vanished a week after launch, taking 798 ether (around $2.7 million at the time).
US Attorney Damian Williams and FBI Assistant Director James Smith confirmed the stolen funds were moved through multiple cryptocurrency transactions. Each charge against the three men carries a maximum sentence of 20 years in prison. The indictment was unsealed on June 6, highlighting efforts to combat NFT and cryptocurrency fraud.
Selena Mattei