US SEC to Settle with BitConnect Promoters

The US financial markets regulator, the Securities and Exchange Commission (SEC), is preparing to settle its charges with promoters of BitConnect, which is a multi-billion dollar crypto Ponzi scheme.

According to a Law360 report, the regulator has already made up its mind to settle with the six perpetrators and the terms of settlements are currently pending approval by Judge John Koeltl.

The SEC brought charges against the six BitConnect promoters in May that include Trevon Brown (a.k.a. Trevon James), Craig Grant, Ryan Maasen and Michael Noble (a.k.a. Michael Crypto). They were involved in offering and selling BitConnect products without any authorization and created bogus testimonial-style videos and published them on YouTube.

The action against the promoters followed two cease and desist orders against BitConnect issued by the state regulators in Texas and North Carolina in 2018.

Suggested articles

Swiss Fintech Set to Change the Landscape of Isolated Financial ServicesGo to article >>

Though the Judge wants minor fixes on the settlement terms for making them ‘scrupulously accurate’, the regulator wants more than $3 million in fines from Heppensen of Massachusetts, another $576,000 from his fiancee Mascola, $526,000 from Maasen of Oklahoma, and an unspecified sum from California’s Noble.

A Classic Ponzi Scheme

BitConnect promised massive returns to its investors but turned out to be a Ponzi investment scheme that allegedly scammed investors out of $US2.6 billion. The scheme gained traction in 2017 with the boom in the crypto market and bottomed out in early 2018.

Maasen was the national promoter of the fraudulent scheme in the United States, while the others acted as regional promoters in various states. However, two other regional promoters, Trevon Brown of South Carolina and Craig Grant of Florida did not agree to any settlement offer made by the SEC.

Earlier, the Australian financial market regulator banned John Bigatton, who represented the scheme in the country and charged him with several counts of financial crimes.

admin

admin

Leave a Reply

Your email address will not be published. Required fields are marked *

Share:

Share on telegram
Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp

Related Posts

bitcoin
Bitcoin (BTC) $ 63,736.08
ethereum
Ethereum (ETH) $ 3,124.42
tether
Tether (USDT) $ 1.00
bnb
BNB (BNB) $ 553.57
solana
Solana (SOL) $ 138.40
usd-coin
USDC (USDC) $ 1.00
staked-ether
Lido Staked Ether (STETH) $ 3,114.77
xrp
XRP (XRP) $ 0.501031
dogecoin
Dogecoin (DOGE) $ 0.158438
the-open-network
Toncoin (TON) $ 6.41
cardano
Cardano (ADA) $ 0.476690
avalanche-2
Avalanche (AVAX) $ 35.86
shiba-inu
Shiba Inu (SHIB) $ 0.000022
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 63,577.03
tron
TRON (TRX) $ 0.111753
bitcoin-cash
Bitcoin Cash (BCH) $ 495.04
polkadot
Polkadot (DOT) $ 6.81
chainlink
Chainlink (LINK) $ 13.79
matic-network
Polygon (MATIC) $ 0.728339
litecoin
Litecoin (LTC) $ 79.82
internet-computer
Internet Computer (ICP) $ 12.49
near
NEAR Protocol (NEAR) $ 5.21
uniswap
Uniswap (UNI) $ 7.31
leo-token
LEO Token (LEO) $ 5.89
dai
Dai (DAI) $ 0.999877
first-digital-usd
First Digital USD (FDUSD) $ 1.00
ethereum-classic
Ethereum Classic (ETC) $ 26.85
aptos
Aptos (APT) $ 9.16
mantle
Mantle (MNT) $ 1.14
blockstack
Stacks (STX) $ 2.54
okb
OKB (OKB) $ 59.26
bittensor
Bittensor (TAO) $ 522.34
crypto-com-chain
Cronos (CRO) $ 0.127589
filecoin
Filecoin (FIL) $ 6.06
render-token
Render (RNDR) $ 8.56
cosmos
Cosmos Hub (ATOM) $ 8.23
stellar
Stellar (XLM) $ 0.109686
arbitrum
Arbitrum (ARB) $ 1.16
vechain
VeChain (VET) $ 0.041070
maker
Maker (MKR) $ 3,164.67
hedera-hashgraph
Hedera (HBAR) $ 0.081014
immutable-x
Immutable (IMX) $ 2.00
kaspa
Kaspa (KAS) $ 0.120802
dogwifcoin
dogwifhat (WIF) $ 2.71
the-graph
The Graph (GRT) $ 0.261439
optimism
Optimism (OP) $ 2.27
ethena-usde
Ethena USDe (USDE) $ 1.01
injective-protocol
Injective (INJ) $ 25.42
wrapped-eeth
Wrapped eETH (WEETH) $ 3,232.20
monero
Monero (XMR) $ 121.54