Key Information
- •$300 million fraud linked to CryptoSpain's invested funds affects 3,000 investors.
- •Political finance ties prompt expanded investigations.
- •No major market disturbances reported yet.
CryptoSpain Accused in $300M Scheme, 3,000 Affected
Spanish crypto influencer Álvaro Romillo Castillo, known as CryptoSpain, was detained November 6, 2025, by Spanish authorities for an alleged $300 million crypto pyramid scheme.
This case highlights potential political ties and corruption, impacting investors and prompting further investigations in Spain.
Álvaro Romillo Castillo, known as CryptoSpain, was detained by Spanish authorities and accused of running a $300 million pyramid scheme. Madeira Invest Club, his entity, allegedly scammed over 3,000 investors.
Key individuals include Luis Pérez Fernández, tagged for illegal campaign receipts. No statements from Romillo Castillo or other involved figures have surfaced. The accused remains detained due to flight risk concerns. As noted by the Spanish High Court Order, "Castillo was jailed without bail over a $300 million fraud scheme linked to Madeira Invest Club, citing concerns over potential flight risk following recent overseas transfers.”
Political Corruption Allegations amid Scandal
The alleged fraud has left 3,000 investors without funds and is raising concerns about political corruption. Some Spanish far-right politicians are now under scrutiny for potential illegal campaign contributions, according to authorities.
Market impacts are largely unseen, as crypto prices of affected assets (BTC, ETH) remain unaffected. No reports of fund freezes have been issued by major exchanges or involved institutions, maintaining stability so far.
Comparative Analysis with Previous Schemes
Previous similar crimes, like those noted in Europol reports, show comparable financial schemes, though the political connections here add a unique dimension. For insights into similar scams, see this article on a Spanish police case.
Experts suggest that unless there are major asset freezes or liquidations, crypto asset prices like Bitcoin and Ethereum may remain unchanged. The situation is under scrutiny, awaiting further statements from authorities and financial entities.