简体中文
繁體中文
English
Pусский
日本語
ภาษาไทย
Tiếng Việt
Bahasa Indonesia
Español
हिन्दी
Filippiiniläinen
Français
Deutsch
Português
Türkçe
한국어
العربية
Abstract:U.S. authorities are scrutinizing top crypto bosses for alleged fraud and illegal operations amidst industry downturn, with key figures from Binance, Terraform Labs, Celsius, Digital Currency Group, Voyager Digital, and Tron Foundation facing legal challenges.
WASHINGTON — Following the conviction of former cryptocurrency figurehead Sam Bankman-Fried for defrauding customers, U.S. regulatory and law enforcement agencies are turning their attention to other prominent figures in the cryptocurrency industry. These developments come in the wake of last year's dramatic downturn in token prices, which led to high-profile business collapses and increased regulatory scrutiny.
Sam Bankman-Fried
Among those facing legal challenges are Changpeng “CZ” Zhao, CEO of Binance; Do Kwon, co-founder of Terraform Labs; Alex Mashinsky, founder of the Celsius Network; Barry Silbert, head of Digital Currency Group; Stephen Ehrlich of Voyager Digital; and Justin Sun, founder of the Tron Foundation. Each has faced various allegations from U.S. authorities, ranging from fraud to operating illegal exchanges.
Changpeng “CZ” Zhao
Changpeng Zhao's Binance, a global cryptocurrency exchange, has been hit with lawsuits by both the SEC and CFTC, accusing the company and its CEO of deceptive practices and sham compliance. Zhao has firmly denied these allegations, expressing disappointment in the regulatory actions and defending the integrity of his exchange.
Do Kwon
Do Kwon, whose TerraUSD and Luna tokens once boasted a market valuation exceeding $40 billion, is now contending with fraud charges in the U.S. and was recently arrested in Montenegro on separate allegations of document forgery. Kwon has refuted the claims, and Terraform Labs has contested the SEC's accusations in court filings.
Alex Mashinsky
Alex Mashinsky, associated with the now-bankrupt Celsius Network, has pled not guilty to U.S. fraud charges and faces additional legal battles with state and federal agencies, including the SEC, CFTC, and FTC. These agencies allege that he misled customers about the safety and value of the company's assets while engaging in increasingly risky management practices.
Barry Silbert
Barry Silbert's Digital Currency Group is under fire as well, with its subsidiary Genesis Global Capital having filed for bankruptcy earlier this year. The New York Attorney General has accused Silbert and his firms of customer fraud amounting to over $1 billion, a claim Silbert is prepared to challenge in court.
Stephen Ehrlich
Stephen Ehrlich's firm, Voyager Digital, is yet another entity that suffered in the recent crypto crash. He is accused by the CFTC and FTC of deceiving customers about the security of their investments and is pushing back against claims that he was responsible for the company's risky behavior and subsequent failure.
Justin Sun
Finally, Justin Sun is facing SEC charges over fraudulent activities related to his companies' crypto tokens. The SEC alleges that Sun artificially inflated trading volumes and secretly paid celebrities to endorse the tokens, charges that represent the latest in regulatory crackdowns on crypto promotion practices.
While the aforementioned executives have all denied any wrongdoing, their legal predicaments underscore the heightened vigilance of U.S. authorities as they work to oversee the tumultuous cryptocurrency market. The industry is being closely watched as regulators seek to protect consumers and ensure the integrity of financial systems amidst the evolving landscape of digital currencies.
Bottom line
The cryptocurrency market faces a period of intense regulatory scrutiny and legal challenges, several of its most notable figures are finding themselves in the crosshairs of U.S. authorities. With charges ranging from fraud to operating illegal businesses, the legal outcomes of these cases could significantly impact the future regulatory landscape for digital currencies.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
The Swiss Federal Criminal Court has convicted two senior executives from an oil exploration company for embezzling over $1.8 billion from Malaysia’s state investment fund, 1MDB, an extensive case of international corruption that has implicated numerous financial institutions and individuals since allegations first emerged in 2015.
Enter TMGM’s giveaway for a chance to win tickets to Jay Chou's Malaysia Concert in 2024. Simple steps, easy entry—don't miss this exciting opportunity!
Trading 212 simplifies automated investing with BlackRock-powered ETFs. Set goals, deposit funds, and let your portfolio grow effortlessly.
Learn how USDT is transforming consumer transactions worldwide using USDT Wallets, driving its adoption in emerging markets, and revolutionizing digital payments and cross-border trade.