US prosecutors have charged six people over an alleged NFT crypto scam operated from Madagascar that targeted American victims through fake online relationships and fraudulent investment websites. The US Department of Justice (DOJ) announced the charges on October 27, 2026, as it expanded efforts to tackle international cryptocurrency fraud.
The investigation links the alleged operation to criminal networks with connections to China and Malaysia. According to prosecutors, the group established scam compounds in Madagascar in early 2025, likely after moving operations from Cambodia following law enforcement action there.
How the Madagascar NFT Crypto Scam Worked
Investigators allege that the scammers used fake online identities to build relationships with victims on dating websites. They posed as women and gradually encouraged their targets to invest in non-fungible tokens (NFTs) through fraudulent websites.
Once victims trusted the people they met online, the scammers instructed them to connect their cryptocurrency wallets to the fake investment platforms. They then encouraged victims to add more funds to their wallets.
However, the websites were designed to facilitate theft rather than legitimate NFT investments. Prosecutors allege that the scammers secretly withdrew funds from connected wallets without the owners’ knowledge.
The scheme combined romance fraud with cryptocurrency investment fraud. By exploiting personal relationships, the alleged scammers persuaded victims to take financial risks they might otherwise have avoided.
FBI Identifies 74 Crypto Wallets Linked to Victims
The Federal Bureau of Investigation (FBI) identified approximately 74 cryptocurrency wallets associated with victims who reported losses after using fraudulent investment platforms.
The DOJ said investigators identified approximately 800 victims across the United States. Meanwhile, a report by Recorded Future News stated that the scheme stole more than $516,695 from the 74 wallets linked to the investigation.
Investigators also traced the stolen funds to cryptocurrency accounts associated with individuals based in China. The government has seized websites linked to the alleged scheme as part of its efforts to disrupt the operation.
Evidence recovered from phones reportedly included scripts that guided workers on how to approach victims, maintain their trust and persuade them to invest. The devices also contained employment records, work schedules and cryptocurrency wallet addresses.
Six People Charged in the Crypto Fraud Case
The six individuals named in reporting on the case are Chui Kok Wa, Gislen Neukeu, Shamusa Ninsiima, Clement Mugiraneza, Merveille Mudacumura and Nicodemus Hingima Monyancha.
Prosecutors describe Chui Kok Wa as the alleged leader of the NFT scheme. According to the DOJ, his phone contained employment contracts showing overnight work schedules designed to match daytime and evening hours in the United States.
The records also reportedly showed bonus payments tied to money stolen from victims. In addition, investigators found scripts describing the operation as an emotional scam that used victims’ feelings to persuade them to invest.
The charges remain allegations, and the defendants are presumed innocent unless proven guilty in court.
Madagascar Raids Uncovered 13 Scam Compounds
The case follows a joint investigation involving the FBI, the Madagascar Ministry of Justice and the Madagascar National Police.
In August 2026, an FBI team travelled to Madagascar to assist local authorities in investigating scam operations. The DOJ said authorities took action against 13 scam compounds and seized more than 3,200 electronic devices.
However, US investigators said they faced difficulties interviewing individuals connected to the compounds. The DOJ also alleged that Madagascar repatriated several suspects to China before the investigation was complete.
US prosecutors have called on the Madagascar government to cooperate and extradite the six charged individuals.
The DOJ also said it had obtained a material witness warrant to interview 15 employees linked to the scheme. These employees reportedly claimed that they had been trafficked and abused. Their circumstances remain part of the wider investigation.
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US Expands Crackdown on Global Crypto Scams
The Madagascar case forms part of the DOJ’s broader effort to disrupt international scam operations.
The department’s Scam Center Strike Force, launched in November 2025, targets cryptocurrency investment fraud, cyber-enabled fraud, human trafficking and money laundering linked to organised criminal networks.
The DOJ reported that the task force had restrained more than $1 billion in cryptocurrency connected to fraud and scams. It also said the operation had seized 700 fraudulent crypto investment websites. These figures cover the task force’s broader enforcement efforts, not the Madagascar case alone.
The investigation also highlights concerns that criminal groups may relocate their operations when authorities increase pressure in one region. According to the DOJ, the alleged Madagascar operation likely moved from Cambodia after law enforcement action there.
As enforcement expands, international cooperation will remain important in identifying scam operators, tracing stolen cryptocurrency and pursuing suspects across borders.
For crypto users, the case also reinforces the risks of connecting wallets to unfamiliar websites or investing through platforms promoted by people they meet online. A personal connection does not guarantee that an investment opportunity is legitimate.
