Bitcoin
$ 49,377
Ethereum
$ 1,554.8
Litecoin
$ 175.34
okex ads

Operator of Ponzi scheme-turned-crypto scam sentenced to prison after trial in US

Jose Angel Aman was sentenced to 84 months in federal prison on Wednesday or his involvement in a Ponzi scheme-turned-crypto scam.

Aman and his partners allegedly promised investors that they would purchase rough-colored diamonds that could then be sold at a profit assuring, in that sense, that their professed $25 million diamond stash was a high-return, no-risk venture. A release from the Department of Justice outlined the scheme and the details of Aman’s sentencing.

The investor’s funds were not used for their intended purposes and Aman lied about the high-value diamond inventory, prosecutors said. To hide the scam, Aman allegedly paid interest to existing investors with money from new victims.

The cryptocurrency element of the case came in the form of Argyle Coin LLC, a supposed cryptocurrency business backed by diamonds. Prosecutors alleged in court that Argyle Coin was intended to prop up the Ponzi scheme and to prevent its eventual collapse.

Aman mostly used the Argyle investor funds to support interest payments from earlier investors and to support his opulent lifestyle rather than developing a promised cryptocurrency token. Aman and his partners collected over $25 million from hundreds of investors, according to the DOJ report.

Related Posts

Leave a Reply

Newsletter

Subscribe To Newsletter

For updates and exclusive offers, enter your e-mail below.

Popular Posts

Investors Can Put 1% of Their Portfolios in Bitcoin Despite Calling It a Poor Hedge – JPMorgan
March 1, 2021By
Just In : MicroStrategy Acquires Additional $15 Million in Bitcoin at Average Price of $45,710
March 1, 2021By
How AI And Blockchain Can Augment Human Ability To Innovate
March 1, 2021By

Advertisement

Video Posts

In
How AI And Blockchain Can Augment Human Ability To Innovate
March 1, 20210
In
The State Of Bitcoin And Alt Coins
February 27, 20210

Crypto Stats


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin49,377 0.82 % 13.49 % 14.38 %
Ethereum1,554.8 0.14 % 15.55 % 19.92 %
Cardano1.350 4.93 % 11.27 % 21.87 %
Binance Coin255.06 0.15 % 27.84 % 13.71 %
Tether1.000 0.18 % 0.10 % 0.20 %
Polkadot35.49 0.16 % 16.12 % 10.65 %
XRP0.4505 2.83 % 12.82 % 18.22 %
Litecoin175.34 0.23 % 10.84 % 23.07 %
Chainlink27.52 0.71 % 17.55 % 19.64 %
Stellar0.4311 1.98 % 10.52 % 13.66 %