$290M Bitcoin Ponzi Scheme Unraveled – Brazilian National Faces 20 Years

• A Brazilian national, Dover Braga, is facing up to 20 years in prison after being charged with orchestrating a $290 million Bitcoin Ponzi scheme.
• Braga is charged with 12 counts of wire fraud, corresponding to 12 investor transactions and one count of conspiracy to commit wire fraud.

Dover T. Braga, a 48-year-old Brazilian citizen, has been extradited from Switzerland to the United States to face a 13-count indictment for wire fraud and conspiracy related to a massive $290 million Bitcoin Ponzi scheme. Acting U.S. Attorney Teal Luthy Miller announced that Braga, who resided in Florida between 2016 and 2021, operated the fraudulent investment platform, deceiving investors worldwide.

The Alleged Bitcoin Ponzi Scheme

Braga is accused of running Trade Coin Club (TCC), a cryptocurrency trading platform that promised investors lucrative returns through a sophisticated trading algorithm. However, authorities claim TCC was nothing more than a Ponzi scheme, using funds from new investors to pay earlier ones while Braga and his associates siphoned off millions.

According to court documents, Braga and his co-conspirators aggressively marketed TCC worldwide, including in Thailand, Nigeria, and Macau, falsely claiming the platform had over 126,000 members across 231 countries. Investors were led to believe they were making profits, but in reality, there was no legitimate trading activity, only a scheme designed to funnel funds into Braga’s pockets.

Between 2016 and 2019, Braga allegedly misappropriated at least $50 million in (Bitcoin BTC) into accounts he controlled, while total investor losses reached approximately 82,000 Bitcoin (worth $290 million at the time).

In addition to wire fraud, Braga faces charges of tax evasion for allegedly failing to report tens of millions in Bitcoin earnings to the IRS. In 2017, he received $30.5 million in Bitcoin but reported only $152,298 in income. The following year, he claimed just $73,473 in earnings despite receiving $13.1 million. In 2019, he declared only $72,870, even though he pocketed $10 million in Bitcoin. These discrepancies suggest that Braga deliberately concealed his cryptocurrency profits to evade taxation, further compounding his legal troubles.

A grand jury indicted Braga in October 2022, but the case remained sealed until his arrest in Switzerland in 2024. Following extradition to the U.S., Braga appeared in U.S. District Court in Seattle, where he pleaded “Not Guilty” to all charges. His trial is scheduled for April 28, 2025, before Judge Tana Lin.

If convicted, Braga faces a maximum 20-year prison sentence for wire fraud and conspiracy. Authorities continue to investigate whether additional accomplices were involved in the global cryptocurrency scam.

The case marks a significant crackdown on crypto-related fraud and highlights the global effort to hold perpetrators accountable. As Braga awaits trial, federal authorities, including the FBI and IRS Criminal Investigation, continue working to recover lost funds and ensure justice for the victims of one of the most notorious Bitcoin Ponzi schemes in recent history.

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