US court condemned founders of cryptocurrency hedge funds at 7.5 years in prison-regulation
US court condemned founders of cryptocurrency hedge funds at 7.5 years in prison-regulation
The founder of two cryptocurrency hedge funds in New York, Stefan Qin, was sentenced to 7.5 years in prison and three years of supervision. He is also ordered to lose around $ 55 million. The Ministry of Justice (DOJ) said that he was involved in a plan to steal assets from his hedge funds and cheat investors.
founder of Crypto Hedge Fund gets 7.5 years in prison
Stefan Qin, the founder of two cryptocurrency hedge funds in New York, was sentenced to 7.5 years in prison, the US Justice Ministry (DOJ) said last week.
Qin, a 24-year-old Australian citizen, founded the Virgil Sigma Fund and the VQR MultiTrategy Fund, which are said to have over $ 100 million in investments. He made an indictment for February 4. According to the American Securities and Exchange Commission (sec)
According to the Doj, Qin was sentenced to 90 months in prison on Wednesday.
The Ministry of Justice said that Qin had and controlled the two cryptocurrency investment funds between 2017 and 2020. "Until recently, Virgil Sigma stated that she managed over $ 90 million from dozens of investors, including many in the United States," said the Ministry. "Until recently, VQR had managed at least around $ 24 million from investors."
The doj detailed:
Since 2017, Qin has participated in a plan to steal Virgil Sigma assets and to cheat on its investors. Instead of investing the assets of the fund as announced in a cryptocurrency arbitrage trade strategy, Virgil Sigma, misappropriated Qin, and used the funds for other purposes than the alleged arbitrage trade strategy.
Qin also tried to steal assets from VQR, as Bitcoin.com News previously reported . The DOJ explained that the two cryptocurrency funds of Qin "stopped the company and the liquidation and distribution of assets from a legally appointed insolvency administrator in the matter SEC against Qin, 20 CIV. 10849", adds:
Qin, 24, was also convicted of three years of exposed release and asked to withhold $ 54,793,532.
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