A United States Court Shuts Down Three Cryptocurrency Schemes.
A federal court in the United States just placed a restraining order on the assets of four promoters who have been accused of promoting deceptive cryptocurrency schemes. This was done at the request of the United States Federal Trade Commission.
The United States Court Order
On Friday, the United States Federal Trade Commission announced that a federal court in the United States had shut down three alleged deceptive schemes following its request. The Federal Trade Commission is an independent body of the United States government. The objective of the commission is to protect customers and do what it takes to prevent anti-competitive business practices.
The court that made the order was for the southern district of Florida. It halted the activities of individuals who allegedly got engaged in deceptive cryptocurrency schemes.
They claimed that the those who participated would earn large returns if they pay with cryptocurrencies like Bitcoin or Litecoin for enrollment.
The document stated:
“The federal court has frozen the defendant’s assets and issued a restraining order on these assets pending the trial.”
The agency filed a complaint stating that the defendant violated the Act’s prohibition concerning deceptive acts by sending the wrong message about the chain referral schemes. ” They claimed that those who participated in the money-making schemes could earn substantial amounts.”
Of the four defendants, three were accused of promoting chain referral programs called My7network and Bitcoin Funding Team. The defendants, Eric Pinkston, Louis Gatto and Thomas Reed, were accused of using YouTube videos, websites, and, conferences to deceive the public. They claimed that participants in the Bitcoin Funding Team would get more than $80,000 monthly by investing $100.
While a few of the participants will benefit from the setup, a majority of them will lose. Scott Chandler, the fourth defendant, was accused of a doing the same thing on another platform.