Celsius Network was a ‘Ponzi plan,’ company’s former expense manager alleges in lawsuit

Beleaguered crypto loan company Celsius Network operated as a classic “Ponzi plan,” the former head of the company’s essential financial investment technique alleged in a lawsuit, proclaiming the business made use of customer deposits to protect large liabilities brought on by reckless mismanagement.

Jason Stone, whose company KeyFi partnered with Celsius to run its decentralized finance expense enterprise in 2020 and 2021, mentioned in the suit that the crypto loan provider failed to consider actions to hedge towards volatility, leaving it massively exposed to the the latest crypto marketplace collapse.

The match stated Celsius never taken care of adequate liquidity

Read More

EminiFX was a cryptocurrency pyramid scheme, FBI alleges

Placeholder while article actions load

The recent cryptocurrency crash won’t deter investors looking to get rich fast in a new technology they barely understand. It also won’t stop the many crypto-scammers who understand the psychology behind the bitcoin bubble, the mind-set that leads investors to willfully ignore the blood-red flags that warn they are being conned.

The criminal activity surrounding cryptocurrency is a growing concern to law enforcement. The FBI has formed a new specialized team — the Virtual Asset Exploitation Unit — dedicated to cryptocurrency crimes. The Securities and Exchange Commission announced it’s nearly doubling the number of staffers

Read More