Dutch authorities have arrested a 26-year-old man suspected of involvement in the ZKasino online gambling platform scam. The Fiscal Information and Investigation Service (FIOD) detained the suspect on April 29 on charges of fraud, embezzlement, and money laundering.
According to a May 3 report by FIOD, the Dutch authorities seized over €11.4 million ($12.2 million) worth of assets, including cryptocurrency, real estate, and luxury vehicles. This marks the first arrest in the ZKasino fraud case, where investors reportedly lost at least $33 million in digital assets.
ZKasino initially promised investors they would receive their funds back within 30 days. However, the Dutch authorities claim the smart contract associated with the platform suggests the company had no intention of returning the investments. The suspect’s detention has been extended by 14 days to allow further investigation.
Although the suspect’s identity has not been officially confirmed, members of the crypto community on X have speculated about who might be behind the scheme. Concerns among investors grew on April 20 when an on-chain transaction revealed that ZKasino had transferred 10,515 ETH into the Lido staking protocol. Around the same time, users noticed the platform had changed the wording on its website, removing a previous statement that claimed the ETH “would be returned.”
Further doubts were raised when ZKasino posted on X in March, claiming it had closed a Series A investment round valued at $350 million, with backing from prominent firms like the crypto exchange MEXC and venture capital company Big Brain Holdings. However, Big Brain Holdings later clarified that it had not invested in ZKasino and described the platform as “appearing to be fraudulent,” despite having been offered a token distribution.