BitConnect Lawsuit – YouTube Joins BitConnect Class Action Suit
The SEC’s Retail Strategy Task Force has launched an investigation into BitConnect, the cryptocurrency Ponzi scheme that has become a popular online investment tool. YouTube has joined the list of defendants in the BitConnect lawsuit, and the site has no phone number. In this article, we’ll explore the details of the lawsuit and whether investors will get a refund. Also, we’ll cover the possible outcomes of BitConnect’s demise.
YouTube is now a defendant in the BitConnect lawsuit
A class-action suit filed against the cryptocurrency scam company BitConnect has now added YouTube as a defendant. The class-action lawsuit claims that YouTube failed to delist videos promoting BitConnect, which subsequently exposed many people to illegal investments. Despite its policies aimed at protecting users, YouTube did not adequately protect investors. The lawsuit also states that YouTube failed to act as a gatekeeper of inappropriate content. As a result, YouTube’s policies now prohibit ads for cryptocurrency-related content.
The YouTube videos posted by BitConnect allegedly enticed victims to invest in their fraudulent investment scheme. YouTube failed to delist or demonetize these videos, exposing many YouTube users to illegal investment opportunities. While users had repeatedly warned YouTube to remove the videos, it did nothing. As a result, YouTube was implicated in the BitConnect lawsuit. The plaintiffs argue that YouTube was negligent in failing to remove the videos and failed to take any action to prevent YouTube users from investing in the company.
SEC’s Retail Strategy Task Force investigated BitConnect
The SEC has launched an investigation into the BitConnect lawsuit. The lawsuit was filed against the crypto lending platform and its promoter, alleging a $2 billion fraud against retail investors, and a global fraudulent offering of digital assets. The complaint also accuses BitConnect of rigging exchange rates to gain disproportionately large profits. The SEC’s investigation was led by former SEC Chairman Jay Clayton, who resigned in September 2018.
In January 2017, Bitconnect suspended its rewards program after regulators and US law enforcement agencies issued cease and desist orders against its administrators and promoters. Arcaro, a promoter of the Bitconnect offering, pleaded guilty to criminal charges earlier this year. The SEC’s investigation is ongoing. A team of two SEC staff and five regulators were involved in the investigation. The investigation was overseen by Kristina Littman and John O. Enright.
BitConnect is a cryptocurrency Ponzi scheme
Satish Kumbhani, the founder of the bitcoin investment platform BitConnect, is accused of orchestrating a $2.4 billion crypto Ponzi scheme. According to prosecutors, he misled investors into believing that BitConnect would use proprietary technology to track cryptocurrency exchange markets to make payments to earlier investors. However, the alleged scam involved a different strategy: Kumbhani paid earlier investors with money from later investors.
The US government is investigating the BitConnect scheme and its founder faces a maximum of 70 years in prison if convicted. The DOJ has seized more than $56 million of BitConnect cryptocurrency that was involved in the scheme. The DOJ is planning to sell the remaining cryptocurrency but has not announced how much money the scheme will cost its victims. In the meantime, Arcaro and his family are being prosecuted.
The BitConnect website was initially used to promote its ICO. However, once news broke about the operation, the promoters disassociated themselves. Afterward, they deleted their YouTube channels and shifted their focus to other cryptocurrency investment schemes. As a result, they continue to harm thousands of investors. Moreover, BitConnect was translated into many languages, including Vietnamese, Japanese, Korean, Thai, and Cambodian. The BitConnect X ICO continues to operate.
Investors may get a refund
A scam known as BitConnect is causing a lot of anxiety among bitcoin enthusiasts. BitConnect was a website that asked investors to lend cryptocurrency to a company and receive returns that blew away expectations. If you lent $10,000 to the company over 180 days, you could receive returns of 40 percent a month. In the U.S. alone, it’s not uncommon to see investors lose more than two-thirds of their money in this scheme.
It’s unclear whether or not investors can get a refund, but if they did, they would probably be able to get the money back. While BitConnect is no longer operating, the company’s founders are currently under investigation. The FBI is pursuing the case and attempting to gather information from BitConnect victims. The FBI has created a questionnaire for those who may have invested in the company. After you fill out this questionnaire, you will receive a refund from BitConnect.