The US Securities and Exchange Commission (SEC) accused the Trade Coin Club team of stealing 80,000 bitcoins from more than 100,000 investors using a Ponzi scheme.
The US regulator has filed fraud charges against project participants Douver Torres Braga, Joff Paradise, Keleionalani Akana Taylo and Jonathan Tetreault.
David Hirsch, head of the SEC Crypto Assets Enforcement and Cybercrime Division, said that the founder of the Trade Coin Club crypto project, Dover Torres Braga, could deceive investors by promising that with the help of a bot they would receive a daily profit of 0.35% of all crypto assets.
The money received from investors, representatives of the regulator assure, the founder of the pyramid used for his own needs, and paid part of it to three fellow accomplices. According to Hirsch, Braga personally earned at least 8,396 bitcoins on the project (at that time about $55 million):
“We allege that Braga used the Trade Coin Club to steal hundreds of millions from investors around the world and get rich by exploiting people’s interest in investing in digital assets.”
Last month, the US Securities and Exchange Commission (SEC) reported that it suspects Yuga Labs of violating US laws while trading in the Bored Ape Yacht Club NFT collection and distributing ApeCoin tokens.
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