Sydney Man Charged Over Alleged $3.5 Million Crypto Scam Targeting Elderly Australians
A 42-year-old man from Sydney has been charged over his alleged involvement in a $3.5 million (A$5 million) crypto investment scam that reportedly targeted more than 190 elderly and vulnerable Australians. The case comes as authorities across the country intensify efforts to combat the growing wave of crypto-related fraud.
According to New South Wales Police, Cybercrime Squad detectives laid charges on Friday following an investigation under Strike Force Resaca, which was established earlier this month. The probe focuses on a large-scale digital asset investment scheme that allegedly began operating in November last year.
Investigators claim victims were approached through social media and encouraged to invest in cryptocurrency or shares. They were then directed to transfer funds via an online portal known as “NEXOpayment.” Authorities allege that deposited funds were funneled through a network of crypto wallets and exchanges in a manner consistent with money laundering practices.
Search warrants were executed on February 20 at residential properties in Strathfield and Cammeray, as well as at a business location in Burwood. Police seized electronic devices and documents as part of the operation. The accused faces a proceeds-of-crime charge linked to funds allegedly exceeding A$5,000 and is scheduled to appear before Burwood Local Court on March 17 after being granted bail. A second 36-year-old suspect was arrested during the raids but later released while investigations into his potential involvement continue.
Detective Acting Superintendent Jason Smith, Commander of the NSW Police Cybercrime Squad, described the perpetrators as highly organized and sophisticated. He warned the public to remain cautious of unsolicited investment opportunities and urged individuals to verify the legitimacy of any platform before transferring funds.
Australia Steps Up Crypto Crime Enforcement
The charges in Sydney come amid a broader crackdown on crypto-linked crime across Australia. In November 2025, South Australia Police carried out 55 arrests under Operation Ironside, an extensive investigation into encrypted criminal communications that uncovered networks involved in drug trafficking, firearms distribution, money laundering, and financial crimes involving cryptocurrency. Authorities reported seizures previously estimated at around A$58 million.
Last year also saw the arrest of former Australian Rugby League player Trent Merrin over allegations involving the dishonest transfer of approximately A$140,000 in cryptocurrency from a victim’s account. The case highlighted how digital assets are increasingly appearing in a wide range of criminal investigations.
Globally, law enforcement agencies are facing similar challenges. The U.S. Department of Justice reported in its 2025 Year-in-Review that cryptocurrency played a significant role in several major fraud prosecutions, many of which targeted elderly and vulnerable victims. Prosecutors said total intended fraud losses charged in those cases exceeded $16 billion.
As cryptocurrency adoption expands among both retail and institutional users, authorities warn that fraud schemes are becoming more complex and affecting a growing number of victims. In response, agencies are increasing enforcement resources and public awareness campaigns to address the rising threat.
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