On August 28, Lao Cai police announced the operation, carried out in coordination with Ministry of Public Security units, targeting a large-scale fraudulent financial investment network in virtual currencies.

In June 2025, investigators discovered a group organizing conferences in Lao Cai to persuade people to invest in non-existent cryptocurrencies. The scheme showed signs of violating multi-level marketing laws and using telecom and digital platforms to commit fraud.

Recognizing the scale and danger, Major General Cao Minh Huyen, Director of Lao Cai Police, ordered the establishment of a special task force. On August 24, nearly 100 officers across six teams simultaneously raided multiple sites nationwide, arresting 25 suspects, including the ringleader.

Initial findings revealed the group conducted illegal transactions worth tens of trillions of dong. Investigators froze bank accounts and assets totaling over USD 16 million.

The suspects admitted to creating fake apps and websites to promote a fictitious digital currency, convincing unsuspecting investors to use real money. Victims were lured with promises of commissions for recruiting others, a classic pyramid scheme. However, withdrawals of principal investments were blocked, allowing the suspects to appropriate funds.

Police continue to expand the investigation into the nationwide network.