ATM Coin Founders Ordered to Pay $4.25 Million for Fraud

In a U.S. Commodity Futures Trading Commission-led case, a court has fined another cryptocurrency investment scheme for fraud and misappropriating client funds.

According to a CFTC news release from Friday, the district court for the Eastern District of New York ordered a fine of $4.25 million against Blake Harrison Kantor and Nathan Mullins plus four firms including Blue Bit Banc, Blue Bit Analytics, Mercury Cove and G. Thomas Client Services.

The order included a civil monetary payment penalty against Kantor and the firms for $2.5 million, while Mullins received a penalty of $300,000. Kantor and Mullins were further ordered to hand over “ill-gotten gains” of $515,759 and $89,574, respectively.

The CFTC first filed the case against Kantor and his associates in April 2018 for fraud involving binary options – a financial product giving a fixed monetary outcome or none at all – and the cryptocurrency ATM Coin. Under the scheme, the defendants used in-house software to alter the outcome of binary options in favor of the firm, Blue Bit Banc.


ATM Coin Founders Ordered to Pay $4.25 Million for Fraud
Bitcoin ATMs are becoming omnipresent

#ATM #Scam