One Detained In Connection With Kidnapping, Robbery Of Mitroplus Labs Founder
The Ugandan Police have arrested a man in connection with kidnapping and theft of cryptocurrencies worth $500,000 from Festo Ivaibi, the founder of Mitroplus Labs, a company focused on blockchain education.
Recall that Ivaibi was on Saturday May 17 2025 kidnapped where he lost 500,000 USDT in what many describe as a fast-rising class of crypto-related crime that spans across digital and physical worlds.
The attackers, dressed in uniforms and armed with guns, forced Valbi to transfer $500,000 from his wallets, including those held on Binance, to a wallet under their control.
According to a statement shared in X’s post on May 19, Ivaibi was kidnapped on May 17 near his home on Bunamwaya Road in Kampala.
Meanwhile 10 Days after the incident, Mitroplus Labs in a statement obtained by Hifox News said following efforts from the Uganda Police, a suspect named as Phineous Biira, whose role in the crime has been confirmed through forensic blockchain tracing by international and local experts is now in custody.
‘’We wish to provide an official update regarding the recent abduction of Mr. Festo Ivaibi, founder of Mitroplus Labs and visionary behind the Afro Token project. This incident, which involved aggravated robbery and a threat to life, has been one of the most challenging moments not just for our team, but for the wider blockchain and innovation community across Africa and beyond.’’
We are pleased to inform the public that the Uganda Police now has in custody a suspect, Phineous Biira, whose role in the crime has been confirmed through forensic blockchain tracing by international and local experts. Utilising the very technology we advocate for, blockchain analytics, we successfully followed the movement of the stolen funds and a large portion of the stolen funds to the Gun Men’s wallet leads directly to her digital/crypto wallets identified and confirmed through KYC by the Centralised exchanges used.
The company in the statement also thanked the government and security agencies for their efforts.
‘’We extend our deepest appreciation to the Government security agencies that have reacted very quickly and professionally to this matter, local and international media, as well as the global crypto industry, for the overwhelming solidarity and support extended during this testing time. Your voices have kept the conversation alive and the pressure consistent, ensuring that this case receives the seriousness it deserves.’’
According to reports, same individual Phineous Biirahas a criminal record of a similar nature, Uganda Vs Phineous Biira, registered under Case No. NAK-00-CR-CO-0340-2021, presided over by Magistrate Odwori Ponsiano Romans in 2021 with CRB No. Jinja Road/472/2021. This reinforces our long-standing belief that while technology may be neutral, its misuse requires an equally sophisticated and serious legal response.
READ ALSO: Armed Men Ambush Uganda Crypto Trader, Coerce Him to Transfer $500,000
At least 48 Cases like this have happened in Uganda and have been dismissed at the influence of their ring. Following this latest incident, Many tourture victims have shared their stories and heart breaking pictures with the digital traders association and the police, previous perpetuators involved and vehicles used, some with UPDF registration plates in pictures and men in uniform.
”We are aware that the army is one of the most disciplined institutions in the country and such behaviour is highly condemned”
Mitroplus Labs in the statement highlights the urgent need for stakeholder engagement and clear policy formulation for blockchain and crypto technologies on the African continent.
‘’The technology is already here, and the risks, if left unregulated or misunderstood, are too great to ignore. We urge policymakers, regulators, innovators, and enforcers to come together in building a secure, progressive framework that nurtures innovation while deterring criminal misuse.’’
