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.
Chainlink co-founder Sergey Nazarov predicts that tokenized real-world assets (RWAs) will soon surpass cryptocurrencies in value.
Telegram is facing potential restrictions in India following a significant data breach linked to the app.
Anthony Scaramucci, founder of SkyBridge Capital, announced that Vice President Kamala Harris is working on her campaign’s cryptocurrency policies, with support from crypto advocates.
Terraform Labs, the creator of the Terra (LUNA) ecosystem, has received court approval to wind down operations after settling fraud allegations with the U.S. SEC related to the collapse of its TerraUSD stablecoin and LUNA token, which caused $40 billion in losses in 2022.