Ivan Turogin and Sergei Potapenko are suspected in a $575 million fraud case, but they can’t be exposed to U.S. detention conditions.
Ponzi Scheme News
What is a Ponzi scheme? An illegal endeavor, Ponzi schemes essentially aim to attract and take advantage of unsuspecting investors by touting untrue claims of low risk and significant reward. Ponzi schemes typically stay afloat by using money from newer participants to pay older ones, thus making the endeavor seem profitable — so long as new participants continue flowing in.
The endeavor is named after Charles Ponzi, an Italian con artist who performed such a scheme in the 1920s in the United States, costing his investors about $20 million. Ponzi’s scam wasn’t the first of its kind, although it was one of the largest. Ponzi schemes share some commonalities with pyramid schemes, and neither of the two is legal in the United States. Bitcoin (BTC) has been called a Ponzi scheme at times over the years, although its performance and structure have proven otherwise.
AirBit Club co-founder Dos Santos is now the last AirBit defendant not yet sentenced but is scheduled to learn his fate on Oct. 4, 2023.2429
Former IcomTech head Marco Ochoa is the latest crypto fraudster to face charges.3123
Convicted fraudster Pablo Renato Rodriguez must also serve three years of supervised release after he finishes his 12-year prison sentence.7281
Ponzi schemes promise returns generated from the money of future investors, while in pyramid schemes, income flows up through recruitment.
Despite having no trading experience, a Tennessee couple convinced 100 people to hand over their money for a uniquely named crypto investment pool.2680
The scheme allegedly claimed it could generate returns of up to 2.2% a day by leveraging AI to trade more often and with higher profits than a person could.7249
A public burn function introduced in the latest upgrade allegedly allows users to burn tokens from other addresses.6322
Co-founder Pablo Renato Rodriguez and three senior promoters all recently pled guilty to the charges, while the other founder pleaded guilty in October 2021.10408
According to the Department of Justice, Forsage employed smart contracts that were coded in ways consistent with a Ponzi scheme.5209
Senator Elizabeth Warren claims the Trump Administration “gave a green light” to a cryptocurrency market full of junk tokens, rug pulls and Ponzi schemes.4940
The millions will be distributed among the select number of victims, but thousands more were impacted by the $2.4 billion fraudulent scheme.7243
The latest court action now takes the number of V Global execs behind bars up to seven, as the CEO was previously sentenced to a 22-year prison term.9380
The co-founder of the fraudulent scheme is set to be sentenced in April 2023 on charges relating to wire fraud and money laundering.13015
Various creators and promotors of two allegedly fraudulent crypto companies are facing a litany of charges that could land them 20 years in jail.12341