SEC alleges trader used BTC to hide fraud profit

The U.S. Securities and Exchange Commission alleges day trader from Philadelphia Joseph Willner in illegal taking over more than 100 brokerage accounts
01 November 2017   1513

The U.S. Securities and Exchange Commission (SEC) is suing a day trader from Phildelphia for alleged fraud, claiming he used bitcoin to hide their profits. This is reported by Coindesk.

On 30th of October, the Commission issued a suit against Joseph Willner. He is accused in illegal taking over more than 100 brokerage accounts and using the victims' funds to artificially inflate stock prices that he would then trade against advantageously.

According to SEC, Willner used an unnamed bitcoin exchange to hide the profits from illegal activities and convert funds from $ to BTC. After that, funds were transferred to another unnamed person.

To mask his payments to the other individual as part of a profit-sharing arrangement, Willner allegedly transferred proceeds of profitable trades to a digital currency company that converts U.S. dollars to Bitcoin and then transmitted the bitcoins as payment.
 

SEC press release

The Commission states that these two people made at least $700k in profit, using the account take-over scheme and investigation is still going.

Account takeovers are an increasingly significant threat to retail investors, and it is exactly the type of fraud our new Cyber Unit is focusing on.
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Stephanie Avakian
Co-Director,  SEC’s Division of Enforcement

Monex Online Broker to Reward Shareholders With BTC

Crypto will not be received by all shareholders as an additional interest, but only those who have an account on the Coincheck
23 March 2020   272

The Japanese brokerage company Monex Group has announced that it will pay shareholders a small amount in bitcoins as an additional interest at the end of the fiscal year.

Cryptocurrency will not be received by all shareholders of the online broker, but only those who have an account on the Coincheck bitcoin exchange. In addition to the regular payments for the year, these shareholders will receive 500 yen (about $ 4.54) in bitcoins. The fiscal year in Japan ends March 31.

The company acquired Coincheck for $ 33.6 million in 2018, when the platform experienced serious financial difficulties after a massive $ 530 million hack. With the new owner, Coincheck received a license from Japan's financial regulator in January last year. Later, the exchange launched a platform for OTC cryptocurrency trading and announced a platform for conducting IEO.