- The alleged organization known as Control-Finance Limited scammed as much as $147 million in Bitcoin scheme.
- Victims were sold false promises of big daily profits, guaranteed by their cryptocurrency traders.
The United States Commodity Futures Trading Commission (CFTC) has taken action against an alleged fraudulent $147 million Bitcoin (BTC) scheme.
Earlier in week on Monday 17th June, the U.S. regulator is said to have filed a complaint with the New York Southern District Court, take action against a now-non-operating United Kingdom-based entity, known as Control-Finance Ltd.
The organization were said to have defrauded over 1,000 investors to launder at least 22,858 Bitcoin. Documents from the CFTC suggested that Control-Finance was soliciting investors to purchase their Bitcoin with cash and then deposit it with the firm.
They were promising daily trading profits on the deposits via employed professional cryptocurrency traders. The accused scammers were further sending portions of new clients’ BTC deposits to other customers, misrepresenting those as actual profits generated from crypto trading.