US-Based Crypto Trader Pleads Guilty

The US Attorney for the Southern District of New York, Damiam Williams, recently announced the guilty plea of Jeremy Spence in a crypto scam worth more than $5 million. The details shared by the authority outlined that Spence solicited money from over 170 individuals through various illegal crypto funds.

Spence, a crypto trader, made false promises to investors. Moreover, he touted enormous returns of up to 148% to lure investors. Spence used the new investment to pay old investors in a Ponzi scheme Ponzi Scheme A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and A Ponzi scheme is a scam that looks to lure investors, ultimately paying profits to earlier investors with funds from more later investors.This form of fraud tricks victims into believing that products are instead generated from product sales or other means. In actuality, most investors are completely oblivious to the actual origin of incoming funds.One of the central attributes of a Ponzi scheme is the necessity of its ongoing nature, which is dependent on a steady flow of new contributions and Read this Term style. He faced massive losses in his actual trading results but lied to investors.

“SPENCE solicited these investments through false representations, including that SPENCE’s crypto trading had been extremely profitable when, in fact, SPENCE’s trading had been consistently unprofitable. For example, on January 28, 2018, SPENCE posted a message in an online chat group falsely claiming that his trading of investor funds over the past month had generated a return of more than 148%,” the Department of Justice said in the press release.

“As a result of this misrepresentation, investors transferred additional funds to SPENCE. In fact, over that same period of approximately one month, SPENCE’s trading resulted in net losses in the accounts in which he traded investor funds,” the authority added.

Crypto Scams

With the growing popularity of digital currencies, global crypto scams have increased. In February 2021, the US Department of Justice charged Kristijan Krstic, a 45-years old Serbian man, for his involvement in fraudulent crypto schemes. In addition, the US authorities joined a probe into Mirror Trading International, South Africa’s multi-billion dollars crypto scam.

In the recent case, Spence asked investors to transfer funds in the form of Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term and Ethereum for investment. “SPENCE, 25, pled guilty to commodities fraud, which carries a maximum sentence of ten years in prison. The maximum potential sentence is prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge,” the announcement states.