Brazil Jails Braiscompany Trio for 171 Years over R$1.1 Billion Ponzi Crypto Scheme

A federal court in Brazil has sentenced three individuals linked to Braiscompany, a collapsed cryptocurrency investment firm, to a total of 171 years in prison. The case is one of the country’s largest crypto-related fraud prosecutions.Federal Judge Vinicius Costa Vidor handed down the sentences after finding the defendants guilty of running an unlicensed financial institution and laundering funds through shell companies and unregulated crypto wallets.Fraud Scheme Collapses, Sentences Handed DownJoel Ferreira de Souza, described as the scheme’s main operator, received a 128-year sentence. The court said he oversaw the creation and movement of funds within an informal financial network. Gesana Rayane Silva and Victor Veronez were sentenced to 27 and 15 years, respectively. They were found to have managed client funds and served as intermediaries.The ruling follows an investigation led by Brazil’s Federal Prosecutor’s Office (MPF). Prosecutors accused five people of organizing a pyramid scheme that raised R$1.11 billion (about $190 million) from 20,000 investors.Braiscompany promised high returns through cryptocurrency trading. However, prosecutors said the operation relied on irregular financial practices, including high-fee transactions and informal money transfers.

Apr 18, 2025 - 15:18

Brazil Jails Braiscompany Trio for 171 Years over R$1.1 Billion Ponzi Crypto Scheme

A federal court in Brazil has sentenced three individuals linked to Braiscompany, a collapsed cryptocurrency investment firm, to a total of 171 years in prison. The case is one of the country’s largest crypto-related fraud prosecutions.

Federal Judge Vinicius Costa Vidor handed down the sentences after finding the defendants guilty of running an unlicensed financial institution and laundering funds through shell companies and unregulated crypto wallets.

Fraud Scheme Collapses, Sentences Handed Down

Joel Ferreira de Souza, described as the scheme’s main operator, received a 128-year sentence. The court said he oversaw the creation and movement of funds within an informal financial network. Gesana Rayane Silva and Victor Veronez were sentenced to 27 and 15 years, respectively. They were found to have managed client funds and served as intermediaries.

The ruling follows an investigation led by Brazil’s Federal Prosecutor’s Office (MPF). Prosecutors accused five people of organizing a pyramid scheme that raised R$1.11 billion (about $190 million) from 20,000 investors.

Braiscompany promised high returns through cryptocurrency trading. However, prosecutors said the operation relied on irregular financial practices, including high-fee transactions and informal money transfers.