On February 21, 2025, the U.S. Attorney’s Office for the Western District of Washington announced the extradition of a Brazilian national from Switzerland to face charges related to a massive $290 million cryptocurrency fraud scheme. Douver T. Braga, 48, appeared in U.S. District Court in Seattle, pleading not guilty to a 13-count indictment that includes wire fraud and conspiracy. His trial is set for April 28, 2025, before Judge Tana Lin.
Inside the Ponzi Operation
Prosecutors allege Braga orchestrated the fraud under the guise of Trade Coin Club (TCC), a purported crypto trading platform that promised high returns through a sophisticated trading algorithm. In reality, TCC was a classic Ponzi scheme with no actual trading activity. Early investors were paid using deposits from later participants. Braga and his associates aggressively promoted TCC globally, including events in Thailand (March 2017), Nigeria and Macau (May 2017), as well as through social media and videos. Court documents reveal Braga claimed TCC had as many as 126,000 members across 231 countries.
Investors were encouraged to recruit others into the scheme, and Braga misappropriated at least $50 million in bitcoin between 2016 and 2019. By early 2018, investors faced difficulties accessing funds, and TCC ultimately ceased U.S. operations. Braga also significantly underreported his income to the IRS while receiving tens of millions of dollars in bitcoin.
Investigation and Extradition
Federal investigators—including the FBI and IRS Criminal Investigation—spent years unraveling the scheme. A grand jury indicted Braga in October 2022, leading to his arrest in Switzerland and subsequent extradition. Acting U.S. Attorney Teal Luthy Miller stated: “Braga allegedly ran a fraud scheme that harkens back more than a century, but he updated his ‘Ponzi’ scheme with the hot new thing: bitcoin.” FBI Special Agent in Charge W. Mike Herrington of the Seattle field office added that Braga “siphoned off millions of dollars for his personal use.”
Legal Consequences and Investor Impact
If convicted, Braga faces up to 20 years in prison. The U.S. Department of Justice’s Office of International Affairs played a key role in securing his extradition. The case underscores ongoing risks in the cryptocurrency space. The FBI urges investors to exercise extreme caution with high-yield crypto projects, as TCC represents just one of many sophisticated frauds. Asset recovery efforts are underway, but most stolen funds are likely unrecoverable.