Crypto Venture VirtualStax Accused of Fraud and Ponzi Scheme Allegations
South African digital trading card company VirtualStax has raised $100 million from investors, including NFL players Patrick Mahomes, Lamar Jackson, and Tyreek Hill. However, the company has been accused of fraud and owes $12 million in unpaid royalties, according to a lawsuit filed in Harris County District Court. The company had promised to generate $97 billion in revenue within three years, but has yet to launch its tokens and digital trading cards endorsed by celebrities. VirtualStax has also faced regulatory scrutiny for allegedly promoting opaque investment opportunities without disclosing payments to celebrity endorsers. Despite promotional efforts, the TurnCoin app has not yet appeared on Android or iOS and Stax cards owned by celebrities are not available.
Former Alameda Research CEO Caroline Ellison Admits She Was Not Suited to Run Failed Trading Desk, According to Diary
According to her diary, former Alameda Research CEO Caroline Ellison did not feel suited to running the failed trading desk and reportedly wrote that it "feels great" the day the FTX empire finally collapsed. Ellison, who admitted fraud related to the collapse of crypto exchange FTX in December, will now be the star witness in her ex-lover's October FTX trial.
Canadian Man Arrested for Allegedly Kidnapping and Assaulting Cryptocurrency Scammer
Akil Heywood has been arrested by Canadian law enforcement for allegedly kidnapping, threatening, and beating Aiden Pleterski, who is accused of orchestrating a crypto scam that defrauded investors of over $40 million. Heywood invested $740,000 with Pleterski and is one of five people facing charges related to the kidnapping and assault of the "Crypto King."
Man Held for Tricking People in Name of Doubling Money Through Cryptocurrency From Kolkata
A man has been arrested from Kolkata for allegedly defrauding people of money under the guise of cryptocurrencies, Mumbai police officials said on Saturday. Accused Hamza Anwar tricked a Mumbai resident into making an online payment of Rs 75,000 by claiming he could double investors' funds within 30 to 35 days.
Co-Founder of Generative AI Startup Stability AI Files Lawsuit Alleging Fraud and Embezzlement by CEO Emad Mostaque
Cyrus Hodes, a co-founder of generative AI startup Stability AI, has filed a lawsuit against the company and its CEO, Emad Mostaque, alleging fraud and embezzlement. Hodes claims that Mostaque misled him regarding the value of his stake in the business, which was sold for $100 but would have been worth $150 million.
Founder of Bankrupt Crypto Lender Celsius Arrested on Fraud Charges, Bail Set at $40 Million
Alexander Mashinsky, the founder and former CEO of bankrupt crypto lender Celsius, has been granted bail of $40 million by a US District Judge after being arrested on charges of fraud. Mashinsky has pleaded not guilty to seven counts of misleading investors and manipulating the price of his CEL token.
Former Celsius Network CEO Charged with Fraud by US Department of Justice
Alex Mashinsky, former CEO and co-founder of Celsius Network, has been arrested and charged with fraud by the US Department of Justice, along with ex-chief revenue officer Roni Cohen-Pavon. The company is facing lawsuits from the US Securities and Exchange Commission and the US Commodity Futures Trading Commission for violating finance laws and misleading investors. Mashinsky has been charged on seven counts, including securities, commodities, and wire fraud, and several conspiracy-related allegations. Celsius, a crypto lending platform, filed for bankruptcy in July 2022, leaving customers with a billion-dollar deficit and frozen withdrawals. The company's unsustainable business model relied on high yields to attract investors, leading to significant losses and allegations of fraud.
Terra Co-Founder Daniel Shin Fails to Appear in Court for Severe Accusations, Delaying Trial Proceedings
Daniel Shin, co-founder of Terra and former CEO of Chai Corp, is among eight individuals facing serious accusations including fraud, breach of duty, embezzlement, and violations of the Capital Markets Act. South Korea's extradition request for Terra co-founder Do Kwon from Montenegro has complicated legal proceedings.
Terraform Labs co-founder Daniel Shin and former employees face preliminary hearing for collapsed Terra-Luna cryptocurrency project fraud charges
Daniel Shin, co-founder of Terraform Labs, and seven other former employees of the company faced a preliminary hearing in South Korea on Monday. Shin was indicted on multiple charges related to the collapsed Terra-Luna cryptocurrency project, including fraud.
