SEC Charges Trade Coin Club for $295 Million Bitcoin Ponzi Scheme


The SEC charges four individuals conned financial backers into sinking cash in a fake crypto exchanging bot.

The U.S. Protections and Trade Commission today hit four individuals with charges for supposedly cheating financial backers out of almost $300 million in a “deceitful crypto Ponzi plot.”

In a Friday announcement, the SEC said Trade Coin Club raised 82,000 in Bitcoin—worth $295 million at the time—from over 100,000 investors worldwide between 2016 to 2018. 

Exchange Coin Club guaranteed financial backers “least returns of 0.35% every day” from a “crypto resource exchanging bot,” yet it wasn’t correct — and on second thought worked as a Ponzi conspire, the SEC claimed.

The public authority body hit Douver Torres Braga, Joff Heaven, Keleionalani Akana Taylor, and Jonathan Tetreault for their supposed contribution to the “staggered showcasing program.”

“We assert that Braga utilized Exchange Coin Club to take many millions from financial backers all over the planet and advance himself by taking advantage of their premium in putting resources into computerized resources,” Head of the Requirement Division’s Crypto Resources and Digital Unit David Hirsch said Friday.

“To guarantee our business sectors are fair and safe, we will keep on utilizing blockchain following and scientific apparatuses to help us chase people who execute protections misrepresentation,” he said.

Braga by and by got no less than $55 million in Bitcoin, while Heaven took $1.4 million, Taylor $2.6 million, and Tetreault got around $625,000, the SEC asserted — all as Bitcoin.

The charges incorporate infringement of the counter extortion and protection enlistment arrangements, as well as infringement of intermediary seller enrollment arrangements of the government protections regulations and requests that the four return the money raised.

SEC Charges Trade Coin Club for $295 Million Bitcoin Ponzi Scheme
Via CoinMarketCal

Tetreault consented to settle the SEC’s charges without conceding or denying the claims, the assertion added.


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