$2.5M Crypto Scheme Busted: Nigerian Suspect Tracked to US Custody

A globe-spanning crypto romance scam that funneled $2.5 million through digital wallets has unraveled, exposing a mastermind now staring down 40 years behind bars.

Feds Hunt Down Suspect in $2.5M Crypto Scam—Now He Faces 40 Years in Prison

The U.S. Department of Justice (DOJ) announced on April 9 that a Nigerian man has been charged in Massachusetts with orchestrating a complex romance scam that allegedly defrauded victims out of more than $2.5 million and routed those funds into cryptocurrency accounts he secretly managed.

Charles Uchenna Nwadavid, 34, was arrested on April 7 at Dallas-Fort Worth International Airport after arriving on a flight from the United Kingdom. According to prosecutors, Nwadavid is accused of operating romance scams from 2016 through 2019 that targeted individuals across the United States. The scheme allegedly involved creating fake online identities to establish deceptive romantic relationships with victims. One of those victims, a Massachusetts woman, unknowingly became a conduit for transferring money from five other individuals who were also targeted. The DOJ noted:

Nwadavid then allegedly tricked Victim 1 in to passing her own and the other victims’ money to him through cryptocurrency transactions, and allegedly accessed accounts in Victim 1’s name from overseas, to transfer the victims’ funds to accounts he controlled at Localbitcoins, an online cryptocurrency platform.

A federal grand jury in Boston had previously indicted him in January 2024 on counts of mail fraud and money laundering. He remains in custody following an appearance in federal court in Texas and is expected to be transferred to Boston for further legal proceedings. Authorities say the use of digital assets allowed Nwadavid to obscure the source of the funds while maintaining direct access from abroad.

If convicted, Nwadavid could face severe legal consequences. “The mail fraud charge provides for a sentence of up to 20 years in prison, three years of supervised release, a fine of up to $250,000 or twice the loss to the victim, restitution and forfeiture,” the Justice Department detailed, adding:

The money laundering charges provide for a sentence of up to 20 years in prison, three years of supervised release, and a fine of up to $500,000 or twice the value of the property involved in the laundering transactions, restitution and forfeiture.

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