The U.S. Commodity Futures Trading Commission (CFTC) has managed to recover $18 million in cryptocurrency connected to a fraudulent commodity pool scheme.
The scheme, run by Sam Ikkurty from Oregon, involved a fake “crypto hedge fund” that deceived investors. Ikkurty promised substantial profits but his fund’s value plummeted by nearly 99% within months—a fact he kept hidden.
The CFTC found that Ikkurty’s investments in high-risk digital assets contradicted his claims of expertise, which he had exaggerated. His actual experience was limited to losing his personal Bitcoin in a hack.
U.S. District Court Judge Mary Rowland has ruled that Ikkurty and his associates must pay $209 million, which includes around $84 million for restitution to victims, $37 million in restitution of illicit gains, and $110 million in civil penalties. Additionally, Ikkurty faces over $14 million in criminal contempt fines.
CFTC Enforcement Director Ian McGinley criticized the scheme, noting that despite being marketed as advanced crypto investments, it was essentially a classic pyramid scheme.
WLFI, a cryptocurrency project linked to the Trump family, has responded to recent allegations made by major news outlets, labeling them as politically charged and inaccurate.
A former Bank of America employee has admitted to playing a role in an international money laundering network that funneled millions of dollars through fraudulent bank accounts, according to the U.S. Department of Justice (DOJ).
For the first time, Goldman Sachs, the world’s second-largest investment bank, has acknowledged cryptocurrencies in its annual shareholder letter.
A significant legal development has taken place in the ongoing bankruptcy proceedings of the collapsed crypto hedge fund, Three Arrows Capital (3AC).