Five charged by the SEC over $2-billion BitConnect Ponzi scheme

Five charged by the SEC over $2-billion BitConnect Ponzi scheme

The failed company was always viewed as nothing more than a scam

The Securities and Exchange Commission (SEC) continues to take action against individuals in the cryptocurrency space and has recently announced that five people will now face charges related to the promotion of the BitConnect Ponzi scheme, which had been called out by industry insiders almost as long as it existed.

Trevon Brown, Craig Grant, Ryan Maasen and Michael Noble are four of the promoters involved in this matter. It has been said that the way they operated was based on the promotion of large profits in BitConnect’s loan program to potential investors. As payment for their promotional efforts, the influencers and representatives received a commission. According to the press release, Joshua Jeppesen, on the other hand, was the person in charge of bridging the connection between the promoters and BitConnect.

“We will seek to hold accountable those who illegally profit by capitalizing on the public’s interest in digital assets,” Lara Shalov Mehraban, Associate Regional Director of the SEC’s New York Regional Office said in the release.

BitConnect collapsed in 2018 and was widely accused of being a Ponzi scheme almost from its introduction. Several analysts and observers, including Ethereum co-founder Vitalik Buterin, had called out the company for its activity. Last year, an Australian man was charged in connection with fraud over his involvement in the company.

“The SEC’s complaint alleges that these promoters offered and sold the securities without registering the securities offering with the Commission, and without being registered as a broker-dealer with the Commission, as required by the federal securities laws,” reads the release. No details have been released as to what charges these five individuals will actually face, but it is expected that the SEC will soon issue a new statement giving possible updates on this situation.

Don't Miss these ACR News Stories

JOIN NOW

Join the most trusted US poker site since 2001 and get a 100% bonus on your first deposit, up to $1,000 !

PLAY REAL MONEY POKER

STAY UP TO DATE

Stay up to date on the latest poker news through social media. Join us at Facebook/americascardroomeu and follow us @ACR_POKER on Twitter. We invite you to share ideas and reactions.

RECENT