Founder of Coin Signals Funds is owed to crypto fraud-threatens up to 10 years in prison-News
Founder of Coin Signals Funds is owed to crypto fraud-threatens up to 10 years in prison-News
The founder and manager of several cryptocurrency funds has guilty to lure investors to his crypto investment fraud. According to the US Justice Ministry (DOJ), his funds constantly lost money and his fraud left a loss of $ 5 million with investors.
investors cheated on investments in coin funds of signals
The US Justice Ministry (DOJ) announced on Tuesday that Jeremy Spence (alias Coin Signals) has guilty in a fraudulent cryptocurrency system.
Spence "requested more than $ 5 million of more than 170 individual investors for various cryptocurrency funds he operated after making incorrect information in connection with these funds," said the doj. Spence War calculated in June.
US prosecutor Damian Williams in detail:
jeremy Spence, A/K/A, 'Coin Signals ”, today admitted to luring investors to his cryptocurrency investment fraud by giving fictional historical returns of up to 148%.
"In reality, Spences have lost money all the time, and his fraud left the investors a loss of $ 5 million," continued the Ministry of Justice.
Spence asked investors for several cryptocurrency investment funds, which he created and managed from November 2017 to April 2019. His biggest and most active funds were Coin Signals Bitmex Fund (CS Mex Fund), Coin Signals Alternative Fund (CS Alt Fund) and Coin Signals for long -term funds.
The Ministry of Justice stated:
Investors who wanted to participate in a fund would transfer cryptocurrencies such as Bitcoin and Ethereum to Spence so that Spence can invest.
"To hide his trade losses, Spence used new investor funds to repay other investors in a ponzi-like way", the DOJ and added that he "mainly distributed cryptocurrency worth around $ 2 million to investors from funds that previously paid up by other investors."
The 25-year-old Spence is guilty of the fraud of goods, which is threatened with a maximum penalty of ten years in prison. What do you think of this case? Let us know in the comment area below. Bedy verification : Shutterstock, Pixabay, Wiki Commons