January 20, 2018
As of this writing, bitcoin again peaked at around $12,000 on Friday. News of a coming crypto crackdowns also spread to the U.S., as New York’s Commodity Futures Trading Commission announced that it had filed lawsuits against three virtual currency operators for allegedly breaking a series of commodities rules like defrauding customers.
The commission charged a New York resident who runs CabbageTech, a company that allegedly told customers that its advice on bitcoin and litecoin trading would net them a 300% return on their investments within a week. CabbageTech apparently never offered the advice and disappeared after a customer had made the payment.
The commission also accused a Colorado resident who runs a company called The Entrepreneurs Headquarters of orchestrating a Ponzi scheme that solicited $1.1 million in bitcoin from 600 people. The third case is under seal.