Creators of My Big Coin Received $6 Million For a Nonexistent Coin

Creators of My Big Coin Received $6 Million For a Nonexistent Coin

The US Commodity Futures Trading Commission ( CFTC ) filed a $6 million lawsuit against the creators of the My Big Coin (MBC) cryptocurrency project, Randal Creter and Mark Gillespie, accused of fraud, the creation of a financial pyramid scheme and the misappropriation of funds.


According to the prosecutors, in the company My Big Coin Pay, Inc. Kreiter and Gillespie engaged in "transferring users' funds to their bank accounts and spending these funds on personal needs and buying luxury goods, including houses, antiques, works of art, jewelry, furniture, decorating services, travel, and entertainment."

As noted by representatives of the CFTC, the accused launched a website of a non-existent cryptocurrency, which contained a lot of false statements. For example, Kreiter and Gillespie claimed that the MBC was traded on many crypto-exchanges, daily published the market value of the coin and claimed that gold backed it, and the project partner was Mastercard. As they say in the lawsuit, it was all untrue.

In reality, as alleged, the supposed trading results were illusory, and any payouts to customers were derived from funds fraudulently obtained from other customers in the manner of a Ponzi scheme.Recently, the CFTC filed lawsuits against two more companies, accusing them of creating fraudulent investment schemes related to cryptocurrencies.

Recall, the other day the Chinese government declared war on the crypto-currency pyramids, and the day before the Bulgarian prosecutor's office confiscated the servers of the OneCoin cryptocurrency project, also accused of creating an international crypto pyramid.

Information Source: TechCrunch