Google Takes Legal Action Against Alleged Counterfeit Crypto App Scammers

By: Eva Baxter

Google has recently invoked legal proceedings against individuals accused of scamming over 100,000 people across the globe via counterfeit crypto apps distributed through the Google Play store. The lawsuit was actioned in the Southern District of New York, representing an aggressive step in Google's ongoing battle against crypto scams.

Defendants named as Yunfeng Sun and Hongnam Cheung are alleged to have managed a large-scale fraudulent operation, posting a minimum of 87 fake investment and crypto exchange apps on the Google Play platform. They gave false identities, locations, and app descriptions, effectively duping users into downloading their fraudulent applications.

Despite a veneer of legitimacy, users were often incapable of withdrawing funds. The scam artists even went as far as facilitating minor initial withdrawals and posting news updates to further legitimize their apps. Increased cybersecurity measures and alliances have already been put in place to combat such scams. In addition to this, Google seeks a permanent injunction to preclude the defendants from accessing its services or creating accounts, and for damages to cover investigative and security enhancement expenses amounting to over $75,000.