Dubai’s "Crypto Scams" Are Raking In Billions

US authorities have accused Sam Lee, co-founder of a company called HyperVerse, of orchestrating a crypto scam that defrauded investors of nearly $2 billion.

The Securities and Exchange Commission (SEC) alleges that HyperVerse was merely an elaborate Ponzi scheme.

HyperVerse promised returns as high as 1% per day, but according to the US Department of Justice (DOJ) and the Securities and Exchange Commission (SEC), the platform was merely an elaborate Ponzi scheme, Alice Kantor reported for Bloomberg News.

Lee, an Australian citizen residing in Dubai, has denied the allegations, claiming in interviews with Bloomberg Businessweek that any misuse of funds was conducted by someone else.

“Startups fail,” he remarked while sipping wine at a Dubai bar. “That’s just the nature of business.”

When asked about the charges, Lee frequently paused, raising a dark eyebrow before responding. US officials are working with counterparts in the United Arab Emirates to serve Lee a summons, but he appeared unconcerned. “They have no evidence, so I don’t have to do anything,” he stated dismissively.