• About
  • Advertise
  • Privacy & Policy
  • Contact
Cryptos Valuator
  • Home
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Ethereum
  • Exchanges
No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Ethereum
  • Exchanges
No Result
View All Result
Cryptos Valuator
No Result
View All Result
Home News

CFTC Fines Owner of Escrow Firm $7 Million over Bitcoin Scam

July 2, 2021
in News
0
CFTC Fines Owner of Escrow Firm $7 Million over Bitcoin Scam
0
SHARES
4
VIEWS
Share on FacebookShare on Twitter

An Easton man was ordered to pay $7.4 million in restitution to resolve civil charges brought by the US Commodities Futures Trading Commission for stealing funds from two companies by lying about Bitcoin transactions.

The enforcement action is the latest development in the case against Jon Barry Thompson, which has been running since 2018. The 49-year-old Pennsylvanian was indicted in 2019 for defrauding two customers buying Bitcoins through his firm Volantis, which operated a cryptocurrency escrow company called Volantis Escrow Platform LLC and a related company, Volantis Market Making.

The Most Diverse Audience to Date at FMLS 2020 – Where Finance Meets Innovation

A similar story had played out in both instances. Specifically, Volantis received $7 million to buy bitcoins on behalf of two clients, which was then sent to a third party before receiving the purchased bitcoins. Thompson lied to the companies, saying “cash is with me, coin is with me,” and further claimed “there is no risk of default” since Volantis controlled “both sides of the transaction.”

In fact, Thompson sent the funds to another escrow service provider who never purchased the bitcoin promised or returned the funds, which were apparently lost in transaction.

“The order also finds that after Thompson took the customers’ money and failed to provide any Bitcoin, he then lied to the customers about the location of the Bitcoin, the reasons the transaction was not completed, and the status of the customers’ money,” the CFTC said in a statement.

Symphony FS, an Irish firm thought to have been one of the victims of the fraud, alleges that Thompson never had the promised cryptocurrencies, which were never delivered to the customers, and the money was not safeguarded as promised.

Following investigations, Thompson was indicted in 2019 by a grand jury in the Southern District of New York on two charges of commodity fraud followed by two counts of wire fraud, which means that he could face up to 60 years in prison on conviction.

However, yesterday, the court accepted Thompson’s plea of guilty to one count of commodities fraud, which carries up to a 10-year prison sentence. He will be sentenced on January 7, 2021

Previous Post

Coin Race: Top Winners/Losers of September and 3rd Quarter 2020

Next Post

The UK – Lithuanian Puzzle: A New Regulatory Hurdle for EMIs?

Next Post
The UK – Lithuanian Puzzle: A New Regulatory Hurdle for EMIs?

The UK – Lithuanian Puzzle: A New Regulatory Hurdle for EMIs?

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected test

  • 111 Followers
  • 23.5k Followers
  • 99 Subscribers
  • Trending
  • Comments
  • Latest
Venezuela Considers Proposal to Include Bitcoin in Central Bank Reserves

Venezuela Considers Proposal to Include Bitcoin in Central Bank Reserves

June 23, 2021
Newegg Expands Bitcoin Payment Option To 73 More Countries

Newegg Expands Bitcoin Payment Option To 73 More Countries

July 4, 2021
World of Ether Goes Live on Ethereum Mainnet, Soon Becoming Top Ranked Crypto Game

Black Friday Drags Crypto Market Down, Bitcoin & Ethereum Price Plunges

August 4, 2021
World of Ether Goes Live on Ethereum Mainnet, Soon Becoming Top Ranked Crypto Game

Enterprise Ethereum Alliance Opens Regional Office In South Korea

August 6, 2021
UPbit Audit Reveals That South Korea’s Cryptocurrency Exchange is Not Guilty

UPbit Audit Reveals That South Korea’s Cryptocurrency Exchange is Not Guilty

Goldman Sach’s Cryptocurrency Startup Circle Raises $110 Million Led By Bitmain Technologies

Goldman Sach’s Cryptocurrency Startup Circle Raises $110 Million Led By Bitmain Technologies

NASDAQ-Powered Crypto Exchange To Go Live in June 2018

NASDAQ-Powered Crypto Exchange To Go Live in June 2018

Why is ZCash Price Rising ? | Latest Crypto News

Why is ZCash Price Rising ? | Latest Crypto News

BTC and ETH Suffer Further Price Drops Following $110M Liquidation

Bitcoin Drops Near $27K, Altcoins Post Double Digit Losses With 1 Billion Worth Liquidated; Here’s What Might Be Next

May 20, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

Terra’s Co-Founder Suggests a Hard Fork To Save the Terra Ecosystem

May 19, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

El Salvador Hosts Central Banks To Discuss the Bitcoin Rollout

May 19, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

The Cryptocurrency Market Flashes Contrarian “Buy” Signal, When Is the Best Time To Buy Bitcoin and Altcoins?

May 19, 2022

Recent News

BTC and ETH Suffer Further Price Drops Following $110M Liquidation

Bitcoin Drops Near $27K, Altcoins Post Double Digit Losses With 1 Billion Worth Liquidated; Here’s What Might Be Next

May 20, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

Terra’s Co-Founder Suggests a Hard Fork To Save the Terra Ecosystem

May 19, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

El Salvador Hosts Central Banks To Discuss the Bitcoin Rollout

May 19, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

The Cryptocurrency Market Flashes Contrarian “Buy” Signal, When Is the Best Time To Buy Bitcoin and Altcoins?

May 19, 2022
Cryptos Valuator

Follow Us

Browse by Category

  • Altcoin News
  • Bitcoin
  • Bitcoin News
  • Blockchain
  • Blockchain News
  • Business
  • Coins
  • Cryptocurrency
  • Cryptonews Deals
  • DeFi News
  • Economy
  • Ethereum
  • Ethereum News
  • Events
  • Exchanges
  • General
  • ICOs
  • Industry Talk
  • Markets
  • News
  • NFT News
  • Opinion
  • Press Releases
  • Regulation
  • special site
  • Sponsored
  • World

Recent News

BTC and ETH Suffer Further Price Drops Following $110M Liquidation

Bitcoin Drops Near $27K, Altcoins Post Double Digit Losses With 1 Billion Worth Liquidated; Here’s What Might Be Next

May 20, 2022
Cryptocurrencies Might Be Subject to Global Legislation as Early as 2023

Terra’s Co-Founder Suggests a Hard Fork To Save the Terra Ecosystem

May 19, 2022
  • Terms & Conditions
  • Privacy Policy

© 2021 Cryptos Valuato

No Result
View All Result
  • Home
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Ethereum
  • Exchanges

© 2021 Cryptos Valuato