U.S. authorities indicted the operators of HyperVerse, allegedly an $1.8 billion “Ponzi scheme.” There’s a fine line between a “fraudulent investment scheme” and many crypto projects, it seems.
Ponzi vs. pyramid schemes: What’s the difference?
Ponzi schemes promise returns generated from the money of future investors, while in pyramid schemes, income flows up through recruitment.
Gary Gensler: Crypto market is like 1920s stock market, full of ‘fraudsters’
Gensler argued that securities laws helped prevent stock market scams once they were passed in the 1930s and can benefit the crypto market of today.
South African Regulator Seeks More Crypto Powers After Alleged Ponzi’s Collapse
“At the point something becomes a Ponzi scheme, we have lost our jurisdiction,” a regulator told Bloomberg.
GemCoin Founder Sentenced to 10 Years for $147M Crypto Scheme
The judge scheduled a restitution hearing for victim investors this summer.
Man Gets 6 Years for $25M Diamond and Crypto Ponzi Scheme
Jose Angel Aman, charged with operating the fraudulent investment scheme, was sentenced to serve six years in federal prison and pay over $23 million in victim restitution by a federal court in Florida.
US Justice Department Extradites Alleged Co-Founder of Crypto Ponzi Scheme From Panama
The accused, Gutemberg Dos Santos, has been charged in an indictment and was extradited from Panama on Nov. 25.
Chinese Authorities Have Seized a Massive $4 Billion in Crypto From PlusToken Scam
Cryptocurrencies worth billions of dollars have been seized during the police crackdown on the PlusToken Ponzi scheme in China.
Court Enters $900K Judgment Against Crypto Ponzi Scammer on Behalf of CFTC
Venture Capital Investments Ltd. raised $534,829 from 72 victims, falsely promising to invest funds in bitcoin and other assets.
Federal Jury Indicts Three Accused of Posing as Pastors in Alleged $28M Ponzi Scheme
The accused were also charged by the CFTC and the SEC for allegedly soliciting funds from over 1,000 people for the fake forex and bitcoin trading fund.
Inside a Crypto ‘Ponzi’: How the $6.5M Banana.Fund Fraud Unravelled
U.S. authorities are trying to return $6.5 million in bitcoin and tether to the victims of an alleged Ponzi scheme.
Quadriga Was a Ponzi Scheme, Ontario Securities Regulator Says
NEW: The Ontario Securities Commission has published a scathing report calling now-defunct Canadian exchange QuadrigaCX a “Ponzi,” and denouncing the practices of founder and CEO Gerald Cotten.
CFTC Sues Alleged Crypto Ponzi Scammer for $500K Theft
The CFTC is charging Breonna Clark and Venture Capital Investments with defrauding investors by pretending to run a commodity pool invested in crypto and foreign currency contracts.
US Arrests 3 in Alleged Crypto Mining Pool Fraud Scheme
U.S. authorities have arrested three members of BitClub Network, alleging the mining pool is a long-running Ponzi scheme.