Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
The Barcelona court has commenced proceedings against six former players of the Spanish football club Sevilla. The athletes are suspected of involvement in a fraudulent scheme related to cryptocurrency and non-fungible tokens (NFTs). The estimated damage amounts to €24 million (approximately $28 million).
Among those accused are Papu Gómez, Lucas Ocampos, Ivan Rakitić, Nico Pareja, Alberto Moreno, and Javier Saviola. Spanish media also mention two additional athletes who may have participated in promoting the project — Diego Perotti and Marcelo Guedes.
According to the investigation, the initiative named Shirtum was marketed as a platform for buying and selling digital football collectibles. The company Shirtum Europa and several other firms from Andorra sold so-called “cinematic NFTs” — images and audio recordings featuring all the aforementioned footballers at a price of around €450 each.
Thirteen affected investors, who filed a complaint with law enforcement, claim that these NFTs were never created on the blockchain: the assets could not be sold or transferred — essentially, it was a simulation of a product.
Related Posts
Prior to the token sales, promoters of Shirtum received approximately €3 million in BNB cryptocurrency from investors for the development of a mobile application for iOS and Android. The application never materialized, and the funds were neither returned nor accounted for in any documentation. Additionally, revenues from NFT sales totaling around €1 million were also not reflected in the company’s annual financial statements, as stated in the charges.
Another aspect of the case involves the project’s own cryptocurrency token — SHI. Law enforcement alleges that out of 1 billion tokens issued, 78% were distributed for free to four promoters and the accused footballers. These individuals sold their tokens to retail investors on the PancakeSwap exchange at inflated prices, according to the investigation. In July of last year, while the investigation was ongoing, the accused completely withdrew the liquidity of the SHI token from the platform. As a result, the asset became worthless and is no longer traded anywhere.
The victims assert that the project’s creators utilized advertising and engaged footballers to create a FOMO (fear of missing out) effect, encouraging individuals to purchase tokens. The scheme involving SHI aligns with a “pump and dump” model, as investors argue: the developers and footballers initially artificially inflated the price and then sold tokens en masse, leaving small investors with devalued assets. Losses from the token manipulations alone could reach at least €20 million.
In mid-April, blockchain analysts ZachXBT accused the Rave project team of orchestrating a “pump and dump” scheme with the RAVE token. An anonymous crypto detective claims that approximately 90% of the total RAVE supply, which amounts to 1 billion tokens, is concentrated in three Gnosis Safe multisig wallets associated with the project team. Only 24% of the tokens are currently in circulation.
