Bitcoin investors are losing millions after an alleged fraud in South Africa

South African crypto investors accuse VaultAge Solutions CEO of stealing millions in cryptocurrencies before fleeing.

According to an AllAfrica report, Willie Breed, CEO of cryptocurrency investment company VaultAge Solutions, is believed to have fled after not being seen or heard from in December 2019. The report alleges that Breed allegedly stayed near the town. Jeffrey Bay and that his whereabouts are being tracked by the country’s criminal investigation unit.

However, South Africans who have invested in cryptocurrency through the now-defunct company fear the CEO may have fled the country to Mozambique.

Breed is accused of stealing Bitcoin for millions of investors. The report claims that VaultAge Solutions is not registered as a legitimate financial institution with the Financial Services Authority (FSCA), although it has more than 2,000 investors.

The report quotes investor Letti Engelbrecht from Krugersdrop,

We are retired and have invested R200,000. From December to April we received payments on the growth of our investment. We haven’t received any money since. We are desperate and live on a very small budget.

A South African investor reportedly deposited more than R6 million ($ 342,000) in Breed’s company.

Breed sent a written response to local media News24, explaining

“I am busy keeping my commitments to the members. The commitment is to pay all the initial capital by May 31.”

Colonel Catlego Mogale of the Directorate for Priority Crime Investigation (DPCI) said authorities were investigating the case but could not disclose more information “at this stage”.