SEC Verdict for$40.7 Million for Bitcoin Ponzi Scheme

A U.S. federal judge in Texas ordered Bitcoin Savings and Trust and its owner to pay a $40.7 million after the U.S. Securities and Exchange Commission proved that the bitcoin company was a Ponzi scheme. The judge stated that the company was "as a sham and a Ponzi scheme" that misled investors from February 2011 to August 2012. Firm owner, Trendon Shavers, promised investors up to 7 percent in weekly interest to be paid based on his ability to trade the bitcoin currency. But the judge found that Shavers used new investors’ money pay "returns" to earlier investors. The judge also found that Shavers used some investor funds on rent, food, shopping, and casino trips.

Investors lost a total of approximately $150 million. Despite the widespread news and warnings about Ponzi schemes after the Bernard Madoff scandal, investors continue to be enticed by promises of outrageous investment returns and continue to fall prey to Ponzi scheme investment frauds. Our investment fraud lawyers have helped defrauded investors recover millions of dollars of investment losses.

Share This Story

Share your experience with investment fraud, and contribute to a community dedicated to protection and empowerment. Together, we can unveil strategies, share insights, and build a shield against financial deceit.

Let’s Discuss Your Case Today

When fighting for your rights, you may go up against some dangerous enemies. You want an attorney flying by your side to help navigate you through the twists and turns of the legal system. 

I Want To...
No Recovery, No Fees (888) 578-6255

Subscribe to our email!

Subscribe to our email!

Subscribe to our email!

uploadmagnifiercross linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram