New Zealand Man Arrested in $265 Million Global Crypto Fraud Case

A man from Wellington has been arrested for his suspected role in a massive cryptocurrency fraud case worth NZ$450 million (US$265 million). The arrest is part of a global investigation led by the FBI into a criminal group accused of fraud and money laundering.

The suspect was taken into custody in Auckland by New Zealand’s Financial Crime Group. His identity has not been made public. Search warrants were carried out over three days in Wellington, Auckland, and California.

According to police, the group tricked seven people between March and August 2024 into sending them large amounts of cryptocurrency. They then moved the money through various digital platforms to hide its source. A report by New Zealand Police says 13 people are believed to be involved, and all are facing charges.

The arrested New Zealander now faces serious charges in the United States, including organized crime, wire fraud, and money laundering.

New Zealand authorities said their cooperation with U.S. law enforcement was key to making the arrests and gathering evidence. The investigation revealed a complex international network using cryptocurrency to commit crimes.

The FBI is leading the case, with strong support from New Zealand’s cybercrime experts. Officials say this shows how important it is for countries to work together to fight crypto-related crimes.

The suspects are accused of using the stolen funds to buy luxury items, including $9 million worth of high-end cars, designer handbags, rare watches, and expensive clothing. They also spent large sums on nightclubs, rentals, and security in cities like Los Angeles, Miami, and the Hamptons.

The group used multiple cryptocurrency exchanges to move the money, making it difficult to trace. This tactic is common in crypto crimes, according to the 2025 Crypto Crime Report by Chainalysis.

Authorities say the case is a big step forward in holding cybercriminals accountable. As digital currency scams increase, global efforts to stop such crimes are also growing.

The investigation is still ongoing, and no further details have been released at this time to protect the case.