Commodity Futures Trading Commission Files First Bitcoin Suitbr>
In its first suit involving bitcoin, the US Commodity Futures Trading Commission (CFTC) is suing an individual and his company over an alleged bitcoin Ponzi scheme in the derivatives market.
Federal prosecutors say that investors ended up losing “most, if not all, of their invested funds. “The Defendants here preyed on customers interested in virtual currency, promising them the opportunity to invest in Bitcoin when in reality they only bought into the Defendants’ Ponzi scheme,” said a statement from James McDonald, the CFTC’s director of enforcement.
Gelfman did not immediately respond to a request for comment.