Greek Soldiers Among Suspects in $8M Crypto Pyramid Scheme

Nine suspects, including two Greek servicemen accused of leadership roles, appeared before an investigating magistrate in northern Greece on Monday, according to Decrypt and the Athens daily To Vima. Police estimate the alleged proceeds reached about $8 million from roughly 10,000 investors.

Scheme Structure and Recruitment

According to police sources, entry into the organization started at €800, while designated VIP investors were asked to contribute €5,000. Both tiers were promised that their money would double. Investigators stated that the organization pushed investors into cryptocurrencies through a platform it controlled.

The recruiting vehicle for the operation was reportedly a local civic group, specifically the Association of Artificial Intelligence Friends in Katerini. In Katerini alone, investigators estimate the organization signed up 1,842 members and collected around €2 million. The 44-year-old leader of the association was remanded in custody after his account failed to convince the magistrate and prosecutor. Six other members from the initial group of seven arrested were released under restrictive conditions with bail set between €15,000 and €20,000, as reported by the public broadcaster ERT.

Investigation Origins

Two military suspects originate from Pieria and Larissa. Investigators believe the Larissa serviceman learned the method from a contact he met while traveling overseas.

The entire case was initiated in July following two anonymous complaints submitted through gov.gr, the Greek government digital services portal, to officers at the Katerini Sub-Directorate for Crime Investigation. Police have arrested a total of 17 people in connection with the organization. None of the allegations have been tested in court.

Key facts

• Nine suspects, including two Greek servicemen, appeared before a magistrate in northern Greece.
• Police estimate the alleged proceeds reached about $8 million from approximately 10,000 investors.
• Entry contributions started at €800, with VIP investors asked for €5,000 under the promise that funds would double.
• The Association of Artificial Intelligence Friends in Katerini served as the alleged recruiting vehicle.