CryptoMediaClub
Saturday, July 5, 2025
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis
No Result
View All Result
CryptoMediaClub
No Result
View All Result
Home All news

SEC Charges Brothers in $60M Crypto Ponzi Scheme Involving Fake Trading Bot

27.08.2024
A A
0
123
VIEWS
ShareShare

The U.S. Securities and Exchange Commission (SEC) has filed charges against two brothers for allegedly orchestrating a $60 million cryptocurrency Ponzi scheme centered around a fraudulent trading bot.

The charges were detailed in a complaint filed on August 26 in the U.S. District Court for the Northern District of Georgia, Atlanta.

According to the SEC, Jonathan Adam and Tanner Adam lured more than 80 investors by promoting a non-existent crypto trading bot that they claimed could deliver impressive monthly returns of 13.5%.

Crypto Arbitrage Trading Bot

The brothers allegedly operated the scheme from January 2023 through June 2024.

They managed to convince investors that their bot could identify arbitrage opportunities across various crypto platforms, allowing it to buy and sell assets simultaneously and profit from minor price differences in different markets.

The SEC’s complaint states that the brothers promised to pool investor funds into a lending system to facilitate flash loans and execute trades, with the borrowed assets being returned within the same blockchain transaction.

However, the SEC contends that the trading bot was a complete fabrication.

Look: 👀The SEC just busted two brothers for running a massive crypto scam worth $60 million! Jonathan Adam and his brother, Tanner Adam, allegedly lured in over 80 people by claiming to operate a crypto bot that could net investors 13.5% monthly returns. pic.twitter.com/hMQfk4How6

— Randy 🤑 (@money4randy) August 27, 2024

Justin Jeffries, Associate Director of Enforcement at the SEC’s Atlanta Regional Office, declared that the entire trading scheme was fraudulent.

According to Jeffries, the brothers misappropriated $53.9 million of the $61.5 million they raised from investors.

While some investors received partial repayments, the majority of the funds were allegedly used to finance the brothers’ extravagant lifestyles, including the purchase of luxury vehicles and the construction of a $30 million condominium.

“As we allege, the Adam brothers promised their investors high returns on a crypto investment that did not exist, and then used investor funds to make Ponzi-like payments and to purchase designer goods, recreational vehicles, and million-dollar homes,” Jeffries stated.

In response to the SEC’s actions, the agency has successfully obtained emergency asset freezes on the brothers’ companies, GCZ Global, LLC, and Triten Financial Group LLC, in an effort to halt the fraudulent scheme.

The SEC also accused Jonathan Adam of misleading investors by concealing his criminal past, which includes three prior convictions for securities fraud.

The agency is now pursuing permanent injunctions against the brothers and their companies, the return of all misappropriated funds, and civil penalties.

FutureNet Co-Founder Arrested

Last week, Montenegrin authorities apprehended Roman Ziemian, co-founder of the alleged crypto fraud scheme FutureNet, which is accused of defrauding investors of approximately $21 million.

The arrest was made in the capital city of Podgorica, where Ziemian was reportedly living under a false identity.

Ziemian is wanted by both South Korean and Polish authorities on charges of fraud, money laundering, and theft.

Ziemian’s case bears similarities to that of Do Kwon, co-founder of Terraform Labs, who is also detained in Montenegro and faces similar charges.

Earlier this month, Kwon’s extradition was postponed again after the Supreme State Prosecutor’s Office (VDT) filed a request for the protection of legality.

The post SEC Charges Brothers in $60M Crypto Ponzi Scheme Involving Fake Trading Bot appeared first on Cryptonews.

Share9Tweet6ShareSharePin2

Related Posts

Crypto Traders on Alert as Sweden Expands Law to Seize Digital Assets
All news

Crypto Traders on Alert as Sweden Expands Law to Seize Digital Assets

05.07.2025
0

Sweden’s Justice Minister Gunnar Strömmer has ordered local authorities to intensify efforts to seize assets like cryptocurrency, luxury goods, and...

Read moreDetails
Sanctioned Russian Giant Rostec Bypasses Banks with Tron-Based RUBx Stablecoin

Sanctioned Russian Giant Rostec Bypasses Banks with Tron-Based RUBx Stablecoin

05.07.2025
Crypto Price Prediction Today 4 July – XRP, Shiba Inu, Pepe

Crypto Price Prediction Today 4 July – XRP, Shiba Inu, Pepe

05.07.2025
XRP Price Prediction: Swiss Bank Embraces Ripple’s RLUSD – Billions Flowing into XRP?

XRP Price Prediction: Swiss Bank Embraces Ripple’s RLUSD – Billions Flowing into XRP?

05.07.2025
ChatGPT’s 42-Signal TRX Analysis Flags Corporate Treasury Milestone

ChatGPT’s 42-Signal TRX Analysis Flags Corporate Treasury Milestone

05.07.2025
Load More
Next Post
New Zealand Mulls Adoption of OECD Crypto Reporting Standards

New Zealand Mulls Adoption of OECD Crypto Reporting Standards

0 0 votes
Рейтинг статьи
Subscribe
Notify of
guest
guest
0 комментариев
Oldest
Newest Most Voted
Inline Feedbacks
View all comments

Recommended

Crypto Memes can be Considered Financial Promotions, Says UK Watchdog

Crypto Memes can be Considered Financial Promotions, Says UK Watchdog

2 years ago
Tether Signs MoU With Georgia To Boost Blockchain Adoption

Tether Signs MoU With Georgia To Boost Blockchain Adoption

2 years ago

Bitcoin Unable to Reclaim $28K, Radix (XRD) Pumps 13% Daily (Market Watch)

2 years ago
Metabet’s Virtual Casino Takes Center Stage in Shibarium

Metabet’s Virtual Casino Takes Center Stage in Shibarium

2 years ago

Categories

  • All news
  • Altcoins
  • Analysis
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
No Result
View All Result

Highlights

XRP Price Prediction: Swiss Bank Embraces Ripple’s RLUSD – Billions Flowing into XRP?

ChatGPT’s 42-Signal TRX Analysis Flags Corporate Treasury Milestone

Google’s Gemini AI Predicts the Price of XRP, Solana and Cardano by the End of 2025

ChatGPT’s 42-Signal DOGE Analysis Flags Key $0.155 Support Test Amid Musk Drama

XRP Ledger logs 34% in RWA monthly growth, eyes bigger boost from Mercado Bitcoin partnership

Solana Price Prediction – Institutional Investor Includes Solana in $100 Million Strategic Fund: Is Wall Street Warming Up to SOL?

Trending

Crypto Traders on Alert as Sweden Expands Law to Seize Digital Assets
All news

Crypto Traders on Alert as Sweden Expands Law to Seize Digital Assets

05.07.2025
0

Sweden’s Justice Minister Gunnar Strömmer has ordered local authorities to intensify efforts to seize assets like cryptocurrency,...

Sanctioned Russian Giant Rostec Bypasses Banks with Tron-Based RUBx Stablecoin

Sanctioned Russian Giant Rostec Bypasses Banks with Tron-Based RUBx Stablecoin

05.07.2025
Crypto Price Prediction Today 4 July – XRP, Shiba Inu, Pepe

Crypto Price Prediction Today 4 July – XRP, Shiba Inu, Pepe

05.07.2025
XRP Price Prediction: Swiss Bank Embraces Ripple’s RLUSD – Billions Flowing into XRP?

XRP Price Prediction: Swiss Bank Embraces Ripple’s RLUSD – Billions Flowing into XRP?

05.07.2025
ChatGPT’s 42-Signal TRX Analysis Flags Corporate Treasury Milestone

ChatGPT’s 42-Signal TRX Analysis Flags Corporate Treasury Milestone

05.07.2025
  • All news
  • Altcoins
  • Bitcoin
  • Blockchain
  • Ethereum
  • NFT
  • Analysis
Editor: cryptomediaclub.com@gmail.com
Advertising: digestmediaholding@gmail.com

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

No Result
View All Result
  • All news
  • Bitcoin
  • Ethereum
  • Altcoins
  • NFT
  • Blockchain
  • Analysis

Disclaimer: Information found on CryptoMediaClub is those of writers quoted. It does not represent the opinions of CryptoMediaClub on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoMediaClub covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.

© 2023 Crypto News. All Rights Reserved

wpDiscuz