Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • HACKING
  • SLOT
  • CASINO
  • SUBMIT
Crypto Flexs
Home»BLOCKCHAIN NEWS»Former BitConnect Promoter Pleads Guilty to Criminal Charges
BLOCKCHAIN NEWS

Former BitConnect Promoter Pleads Guilty to Criminal Charges

By Crypto FlexsMay 19, 20244 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Former BitConnect Promoter Pleads Guilty to Criminal Charges
Share
Facebook Twitter LinkedIn Pinterest Email

John Bigatton, BitConnect’s former promoter, pleaded guilty to one criminal charge related to providing unlicensed financial services.

Bigatton appeared in the Sydney Local Court on May 16 and admitted providing unlicensed financial services on behalf of another person. This is a breach of section 911B(1) of the Australian Corporations Act.

BitConnect was a financial services business and online cryptocurrency platform that offered investment opportunities through its website, including a product known as a lending platform. Investors must acquire BitConnect Coin (BCC), a cryptocurrency token, to participate in this platform.

The lending platform allowed lenders to invest in, or “lend,” BCC for a fixed period of time in return for promised high interest rates. However, investors could not control the loan or withdraw capital until the loan term ended.

In connection with his public relations activities, Bigatton advertised the now-defunct BitConnect Ponzi scheme on social media, at seminars across Australia and in-person meetings with investors. He provided financial product advice without an Australian financial services license or authorization to provide financial services.

It is known that these activities were carried out over a total of six times, including four seminars and two social media posts.

The sentencing hearing is reportedly scheduled for July 5.

Charges related to operating an unregistered managed investment scheme were withdrawn after Bigatton pleaded guilty to the first charge.

This case is being prosecuted by the Director of Public Prosecutions following an investigation and referral by ASIC.

BitConnect’s dark past

BitConnect was shut down in 2018 after being accused of running a Ponzi scheme that defrauded investors of millions of dollars. The platform promised an unusually high return on investment.

On 1 September 2020, the Australian Securities and Investments Commission (ASIC) banned Bigatton from providing financial services for seven years.

The ban follows ASIC’s investigation into Bigatton’s involvement as an Australian state promoter of the BitConnect scheme. The scheme collapsed in early 2018, defrauding investors of significant sums of money.

The ban is part of ASIC’s ongoing efforts to crack down on fraudulent activity in the cryptocurrency industry and protect investors from potential fraud.

In January 2023, the U.S. District Court in San Diego ordered 800 victims of the Bitconnect Ponzi scheme to receive a portion of the $17 million in compensation recovered from the $2.4 billion fraud.

This comes after a California judge ordered the funds to be distributed, marking a significant milestone in ongoing efforts to compensate those affected by fraudulent cryptocurrency platforms.

The $17 million in damages was paid out of $56 million forfeited by Glenn Arcaro, one of BitConnect’s top promoters. Arcaro pleaded guilty to one count of conspiracy to commit wire fraud in September 2021 and was later sentenced to 38 months in prison for his role in the scheme.

In related news, the FBI has uncovered a major financial fraud case involving Manhattan resident Idin Dalpour, who allegedly orchestrated a multi-million dollar Ponzi scheme linked to cryptocurrency, defrauding investors of $43 million.

According to media reports on May 1, the Justice Department said Dalpour lured investors with promises of high returns through investments in his Las Vegas hotel services business and cryptocurrency trading operations, which ultimately turned out to be false.

Dalpour allegedly ran a classic Ponzi scheme, using funds from new investors to pay out early investors and diverting the remaining funds for personal expenses, including gambling losses and private school tuition. The indictment alleges that Dalpour manipulated contracts and bank records to defraud investors by offering them annual returns of up to 42%.

Additional accusations state that Dalpour has been operating a Ponzi scheme since 2020, targeting domestic and international victims. If convicted, he could face up to 20 years in prison for wire fraud.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Hyperliquid launches USDH Stablecoin issued by Native Markets

September 25, 2025

The new gold protocol of the BNB chain is due to the $ 2 million launch day nucleus.

September 20, 2025

Rabby Wallet integrates XRPL EVM chain with peersyst

September 15, 2025
Add A Comment

Comments are closed.

Recent Posts

Detect the full execution bug with the induction pursing of Wake

September 25, 2025

KuCoin Appeals FINTRAC Decision, Reaffirms Commitment To Compliance

September 25, 2025

Phemex Revamps Blog To Deliver Deeper Insights And Enhanced Reader Experience

September 25, 2025

T-REX Launches Intelligence Layer To Fix Web3’s Value Distribution Problem

September 25, 2025

Are you doing a fair deal?

September 25, 2025

The method of transforming ASTER WHALES into panic is as follows.

September 25, 2025

Hyperliquid launches USDH Stablecoin issued by Native Markets

September 25, 2025

Hyperliquid’s USDH Stablecoin is broadcast live at an early transaction volume of $ 2M or more.

September 24, 2025

One All-Powerful Asset Across Two Ecosystems

September 24, 2025

BTCC Exchange Partners With NBA All-Star Jaren Jackson Jr. To Inspire Smarter Moves In Sports And Crypto

September 24, 2025

ChainUp Wins Top Crypto Compliance Technology Honor At Thomson Reuters-Presented Awards

September 24, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

Detect the full execution bug with the induction pursing of Wake

September 25, 2025

KuCoin Appeals FINTRAC Decision, Reaffirms Commitment To Compliance

September 25, 2025

Phemex Revamps Blog To Deliver Deeper Insights And Enhanced Reader Experience

September 25, 2025
Most Popular

Mobile App Change Log 6.18.0

April 26, 2024

Ethereum faces an uphill battle: can it overcome its challenges?

May 31, 2024

Flipster Celebrates 1st Anniversary with Trading Competition with 150,000 USDT Prize Pool

July 10, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.