Client to Sue JP Morgan Due to Big Crypto Purchase Fees

Plantiff used credit card to buy cryptocurrency on Coinbase and faced "sky-high" fees
12 April 2018   608

One of JPMorgan Chase client offiled a lawsuit against the bank, in which the financial holding company is accused of levying "astronomical" commissions and percents for purchasing cryptocurrency using credit cards. According to plaintiff Brady Tucker, the organization backdating began to classify the purchase of digital assets as a cash withdrawal, reports Bloomberg.

According to Tucker, since January 2018 the bank began treating his cryptocurrency buys as cash advances instead of purchases, and charging him interest rates of as much as 30 percent a year and additional fees. This led to the fact that the client of JPMorgan faced commissions around 30%.

The suit also cites the words of the executive director of JPMorgan, who last year called bitcoin "fraudulent" and promised to fire out of his company any "stupid" trader who bought or sold digital assets.

It appears that in addition to firing its ’stupid’ employees, Chase elected to start fining its ‘stupid’ customers: unilaterally.
 

Brady Tucker

Chase credit-card customer in Idaho, plantiff

A resident of Idaho hopes that his suit in the federal court of Manhattan will get the status of a group one. Tucker requires the bank to return all accrued commissions, as well as compensation in the amount of $ 1 million. JPMorgan Chase representatives have not yet commented on the situation.

According to Tucker, he was a regular customer of the Coinbase exchange, where he bought cryptocurrency with a credit card, and always conscientiously paid the credit.

Chase silently smacked them with instant-cash-advance fees, plus much higher interest rates than normal, and left them without any recourse.
 

Brady Tucker

Chase credit-card customer in Idaho, plantiff

The plaintiff also added that he and many other customers used credit cards to buy cryptocurrency exclusively because the transaction could be made instantly. At the same time, when using the bank account number for processing operations, it could take several days, Tucker noted. He also said that the bank did not notify him of any changes in the policy, otherwise he would stop using the credit card.

It is noted that only for the first two months of this year, the bank charged Tucker commission of $ 143, as well as another $ 20.61 as percents. When the plaintiff rang to sort out the situation, JPMorgan employees  blame Coinbase.

Users Suspected RusGas of Scam

Reddit users have already accused RusGas of exit scam, since its behavior is much like  recent scam project Oyster Protocol
07 December 2018   95

The RusGas cryptocurrency project (RGS) demonstrates disturbing signs and releases new tokens in excess of the pre-set emission limit, Cryptovest reports. With an aggregate capitalization of $ 117, RGS trading volume for the last few days is $ 35,000. Events unfold against the backdrop of promises made by the project organizers about the upcoming restart.

Most of the RGS trade is focused on the Crex24 exchange, which has a daily  of $ 700,000. RusGas had a daily volume of several million dollars in its best days, which already then caused questions about the authenticity of this value.

According to CoinMarketCap, RGS emissions are limited to 10 billion tokens, but Etherscan indicates that currently 298 addresses contain 860 billion RGS. The rapid growth of emissions was recorded in recent days and hours. The largest wallet contains 99% of all tokens, which is probably the crex24 wallet. The developers themselves explain these movements to the next restart.

Reddit users have already accused RusGas of exit scam, since its behavior is much like  recent scam project Oyster Protocol(PRL), when the additional issue feature was used in a smart contract.

The likelihood of such an outcome is a characteristic feature of projects based on the Ethereum protocol, which allows additional emission of tokens through a smart contract at the discretion of its owner, not to mention other vulnerabilities that cost investors a lot of money.

RusGas is based on the idea of ​​using tokens and blockchains to optimize the Russian gas industry. Despite the dubiousness of the project’s mission, the data on the network indicates that in April of this year he managed to raise $ 2.2 million for ICO.