AfriCrypt says it is not behind the disappearance of $2.4 billion in BTC

Africrypt says it has nothing to do with $2.3B Bitcoin heist

One of the biggest investment scandals in Bitcoin history is unfolding right now in South Africa. The company there, AfriCrypt, has been accused of misappropriating 69,000 Bitcoins, which currently represents about $2.4 billion.

What is AfriCrypt and who is behind it

AfriCrypt is a South African company that was founded in 2019 by brothers Ameer and Raees Cajee. Although they are very young and are 20 and 17 years old respectively, they are estimated to have held around 69,000 Bitcoin on their exchange.

In mid-April, AfriCrypt informed its customers about the troubles it was having on its platform. The email sent also included information about freezing all the accounts they had. The alleged reason was a hacking. The clients quickly became suspicious as the same e-mail contained a tip not to inform any services. The reason was that it would be difficult for them to fight the threat. Shortly afterwards the AfriCrypt platform was shut down and the brothers vanished into thin air. Circumstantial evidence pointed to their potential departure to the United Kingdom. Representatives of a law firm representing some of the victims noted that the bitcoins collected by the Cajee brothers were supposed to have been run through so-called cryptocurrency mixers, making them unlikely to be detected.

Raees Cajee refutes the allegations

On June 28, The Wall Street Journal published an interview conducted with Raees Cajee. He denied all accusations against AfriCrypt. He defended the company’s interests saying that the loss of funds accumulated by investors is the result of a hacking attack. He also stated that it is true that the brothers are in hiding. However, this is the result of threats they received from unspecified persons.

Importantly, services in South Africa cannot take any formal action on AfriCrypt because the cryptocurrency market there is unregulated. According to the country’s laws, digital assets are not a financial product. This results in perhaps one of the biggest cases in the history of crypto investing going unresolved, and funds of $2.4 billion may never be recovered.

Similar situations have already occurred

This case is not isolated, however. In the South African market alone, the case of the broker Mirror Trading International and its $589 million fraud is well-known. This was approximately 23,000 BTC at the time. If, on the other hand, the allegations against the Cajee brothers turn out to be untrue and the funds that were lost were indeed the result of a hacking attack, it may resemble the Mt. Gox case. The Japanese exchange that collapsed in 2014 lost 850,000 BTC belonging to over 24,000 customers. Its case is still ongoing, and some of the stolen bitcoins are expected to be returned to their former holders soon.

Disclaimer: Blockbulletin does not take accountability of investments based on the information of the website. We highly advice readers to make extensive research prior to any invest

Share this article

More news


XRP outperforms Bitcoin and Ethereum

In the past week, XRP decisively outperformed its main rivals, Bitcoin (BTC) and Ethereum (ETH), in terms of capital flows. Moreover, it recorded an impressive $2.7 million…

Solana and Avalanche on the eye of investment funds

Two alternative coins, Solana (SOL) and Avalanche (AVAX), are gaining increasing interest and are successively attracting the attention of investment funds. Although bitcoin (BTC) remains the main…
All articles loaded
No more articles to load


Cryptocurrency wallets

Cryptocurrency wallets

We talked about security when trading crypto assets in an article titled “Online security“. We also mentioned how important it…
hardware wallets

Cryptocurrency hardware wallets

From the article titled “Cryptocurrency wallets” you learned about the different types of wallets. They were briefly characterized there. Let’s…
Where to buy cryptocurrency brokers

Which cryptocurrency Brokers to use

In the article “Where to Buy Cryptocurrencies (Exchanges)“, we introduced you to which exchange platforms you can purchase cryptocurrencies on.…
Trading cryptocurrencies

Trading cryptocurrency

In the cryptocurrency market, you face many opportunities to invest in cryptocurrency or buy or sell cryptocurrency. If you want…
All articles loaded
No more articles to load


All articles loaded
No more articles to load

Latest news

All articles loaded
No more articles to load