ProCap Newsletter No. 16

Dear Clients,

ProCap began advertising itself as a legitimate investment platform in late 2022 and early 2023, initially in the Philippines and later across Southeast Asia. The platform offered so-called predictive games such as baccarat and roulette, promising monthly returns of up to 30%. Investment packages ranged from 2,470 to as much as 74,100 USDT. With an aggressive promotional campaign and convincing visual identity, thousands of people across Asia and beyond believed in this “innovative opportunity.”

How Did the Scam Work?

Behind the colorful ads and “guaranteed profits” was a classic pyramid scheme. Money from new investors was used to pay earlier participants, maintaining the illusion of a legitimate business. However, once the flow of new investments began to slow, payouts became irregular and eventually stopped completely.

As an excuse for blocked withdrawals, ProCap introduced “mandatory KYC verification” and redirected users to a new platform — Luminex. There, users were met with the same promises and the same inability to recover their funds. Shortly afterward, the platform disappeared entirely, taking investors’ money with it.

What Happened Next?

Soon after, regulatory authorities from the Philippines and Hong Kong — PAGCOR and SFC — issued public warnings confirming that the scheme was fraudulent and banned the company’s operations. International investigations followed, and key suspects, including the company’s founder and CEO James Te, were arrested in China on suspicion of fraud and money laundering.

These arrests marked a major step forward but do not guarantee a quick recovery of funds. The total damage is estimated in the millions, leaving many investors without their savings.

Where Are We Today and What Can Investors Do?

Investigations are ongoing in multiple countries, and criminal proceedings have begun. The only realistic chance of recovering at least part of the funds is active participation in the legal process — by registering as an injured party and being represented by legal counsel. The court may order confiscation of illegally obtained assets and their distribution to victims, but this is a lengthy and legally complex process.

How Does a Lawyer Handle Such Cases?

The first step is collecting all relevant documentation from clients — proof of payments, communication with the platform, and other materials confirming their status as victims. A criminal complaint is then filed with the competent authorities, and the investigation is monitored closely. The lawyer maintains constant communication with clients, informing them about the case status and advising on further legal steps.

It is important for victims to be patient and ready to cooperate fully to increase chances of success. Justice and fund recovery require time, but with legal support and joint effort, a positive outcome can be achieved.

If you invested in ProCap and have not recovered your funds, now is the time to protect your rights — gather all documentation and register as a victim. We are closely monitoring the case in all relevant jurisdictions and will continue to keep you promptly informed about new developments and compensation opportunities.

Instructions for Filing a Compensation Claim

To file a compensation claim, it is necessary to:

• Complete the form and sign the power of attorney on the DefendMe Global platform
• Submit all relevant documentation (evidence of payments, communication with the projects, account records from platforms, etc.)

Claims may be submitted until the final conclusion of the criminal proceedings, but we recommend filing as soon as possible to ensure active participation in the process.

Recommendations for Victims

• Urgently report your case if you have not already done so.
• Do not respond to unverified messages offering “fund recovery” in exchange for additional fees.
• Follow updates only through your legal representative and official DefendMe platform channels.

For additional information or assistance with the case, we are at your disposal.

Kind Regards,

Zoran Miljakovic

Attorney at Law