Entries by Regulated

DeFi Scams on the Rise as Another Protocol Defrauds Investors For $20 Million

Yfdexf.Finance, the new cash mining pool DeFi project, has pulled out of the market after stealing $20 million from investors. Yfdexf initiated a two-day large-scale advertising campaign on various social media platforms, such as Twitter and Telegram, and promised free giveaways for retweets and hashtags. A number of investors hastily leveraged their funds on the...

Three Teenagers Charged Over Celebrity Twitter Hack

Three people have been indicted for participating in a massive Twitter hack that took place on July 15, 2020.  Mason Sheppard (19), from Bognor Regis, has been indicted for allegedly hacking celebrities’ Twitter accounts, including Kim Kardashian and Elon Musk. Sheppard is accused of hacking into accounts of famous politicians and moguls in an attempt...

Telegram Agrees to Return $1.2B to Investors and Pay $18.5M Civil Penalty

Telegram Group has agreed to return $1.2 billion to investors, as well as to pay a $18.5 million civil penalty to settle charges over an unregistered offering of digital tokens known as “Grams”, according to the U.S. Securities and Exchange Commission (SEC). The SEC sued Telegram back in October 2019 and blocked its $1.7 billion...

SEC Freezes $12mln Worth of Assets of the “Modern Money Team”

U.S. Securities and Exchange Commission (SEC) has obtained a freeze on the assets of the “Modern Money Team” (MMT) for allegedly lying to investors and misappropriating funds.  Daniel F. Putnam, Jean Paul Ramirez Rico, and Angel A. Rodriguez are accused of conducting fraudulent activities through two Utah-based companies MMT Distribution, LLC and R & D...

Thousands of OTC Bank Accounts Frozen in China

Chinese authorities have frozen thousands of OTC traders’ bank accounts who own digital currencies, cash, as well as the commonly used Tether stablecoin, in a major move against illegal activities including money laundering.   The government has frozen around 4,000 bank accounts since June 4. The police are suspecting that some of these accounts have been...

US Law Firm Files Lawsuits Against 11 Crypto Companies, Including Binance

Roche Freedman, the US-based law firm, filed a number of class-action lawsuits against some of the largest companies in the cryptocurrency space - including Binance, Block.one, Bitmex, Civic, and several more.  According to the lawsuits, the companies defrauded consumers by issuing illegal securities in the form of digital tokens.  A total of 11 crypto...

The SEC Requests Early Judgment in the Lawsuit Against Kik

The United States Securities and Exchange Commission (SEC) has sought early summary judgment in its case against messaging platform Kik, over its $100 million KIN initial coin offering (ICO) in 2017. The legal battle between the SEC and Kik started back in June 2019 when the Commission filed a lawsuit claiming the company’s ICO involved...

FCoin To Close Down, Owes Users Up To $125 Million

Chinese crypto exchange FCoin has paused trading as it may not be able to pay back between 7,000 to 13,000 BTC (about $67 million to $125 million) that it owes to its clients. Founder of Fcoin and former CTO of Huobi, Jian Zhang, published a post named "FCoin Truth," where he claimed that the exchange...

Altsbit Cryptocurrency Exchange to Shut Down After over $70M USD in Assets Stolen

Cryptocurrency exchange Altsbit said it plans to shut down its services in May 2020, after having lost “almost all funds” in a security breach on Feb. 5.Altsbit reported the security breach on Twitter on Feb. 6 and published withdrawal instructions 3 days later. The Italy-based exchange stated that the cryptocurrencies taken in the hack...

Plaintiffs Merge Three Lawsuits Against Bitfinex and Tether

Three separate lawsuits - David Leibowitz et al, Eric Young et al, and Bryan Faubus et al - were filed against Bitfinex and Tether. According to the court filing on January 16, legal counsel of all three parties requested a merger of the disputes. In their court filings, Leibowitz, Young and Faubus accuse Bitfinex and...