Since January, no less than 2 billion dollars have been stolen by malicious people. Recently, the Securities and Exchange Commission (SEC), the American financial policeman, made new arrests. Indeed, the SEC accuses 4 people of operating a Ponzi scheme in bitcoins. According to the agency, at least $295 million was stolen.
SEC Charges 4 People for Role in Bitcoin Ponzi Scheme
According to DRYDouver Torres Braga, Joff Paradise, Keleionalani Akana Taylor and Jonathan Tetreault allegedly exploited a scheme of ponzi in bitcoins worth $295 million. The latter would have used the multi-level market program, called Trade Coin Club. From which, they were able to lift approx. 82,000 BTC from more than 100,000 traders.
If the SEC is to be believed, the mastermind behind this case is Braga. He would have set up a MLM program which only operated from 2016 to 2018. With this program, he assured investors that everyone had the opportunity to make a gain of 0.35% on their investment every day through a trading bot. Unfortunately, the money raised was not put to good use, much to the dismay of investors. Braga would have rather used this money to replenish the pockets with Taylor and Tetreault, the promoters of TCC Paradise.
Speaking about this, David Hirschthe boss of the division Crypto Assets and Cyber Unit at the house of Enforcement Divisiwemade the following statement: “We allege that Braga used Trade Coin Club to rob hundreds of millions of investors around the world and enrich themselves by exploiting their interest in investing in crypto. »
Conclusion
The SEC accuses the respondents of violating several provisions. We can cite those relating to anti-fraud and the registration of real estate values. The same is true for rules relating to the registration of brokers, as well as national securities laws. Clearly, the SEC is campaigning for an injunction so that the defendants reimburse as a first step. Then, they will have to expose themselves to certain civil penalties.
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