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.

News
Jeremy Spence, aka Coin Signals, scammed around $5 million from 170 investors who were unaware their crypto was used to fund a Ponzi scheme.
‘Mortified’ crypto trader gets 42 months for fraud, claiming he was a total gun
Jesse Coghlan
2022-05-12T06:38:50+01:00
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Altcoin Watch
Waves founder Sasha Ivanov says Alameda Research is behind the ongoing WAVES price decline.
Neutrino Dollar breaks peg, falls to $0.82 amid WAVES price 'manipulation' accusations
Yashu Gola
2022-04-04T16:10:00+01:00
8749
News
BitConnect founder is being sued for illegally raising funds and defrauding American investors of over $2 billion.
SEC unable to locate BitConnect founder convicted in $2.4B fraud case
Prashant Jha
2022-03-01T12:52:11+00:00
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News
A San Diego-based federal grand jury charged Kumbhani for orchestrating an alleged Ponzi scheme via BitConnect’s “Lending Program” among other allegations.
DOJ indicts BitConnect’s Indian founder for $2.4B crypto Ponzi scheme
Arijit Sarkar
2022-02-26T06:00:18+00:00
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News
Comments made by Warren Buffet’s right-hand man and vice chairman of Berkshire Hathaway have gone viral for their imaginative depiction of cryptocurrency.
Crypto is like a ‘venereal disease’ and should be banned: Charlie Munger
Tom Mitchelhill
2022-02-17T06:55:57+00:00
9832
Analysis
The year 2021 has seen an increase in “rug pulls,” a new scam capable of luring both early adopters and new crypto investors.
Beware of sophisticated scams and rug pulls, as thugs target crypto users
Rachel Wolfson
2021-12-24T17:14:00+00:00
12137
News
Michael Ackerman faces up to 20 years in jail if convicted of fraud following his guilty plea.
Ohio man pleads guilty to fraud over $30M crypto scam promising 15% monthly
Martin Young
2021-09-10T05:51:32+01:00
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News
Scams make up the largest share of funds sent from Eastern Europe to illicit addresses.
Eastern European victims sent $815M to Ponzis and scams in the past year
Martin Young
2021-09-02T04:22:30+01:00
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