Experienced traders stole almost $ 1 million from their clients


The Truth About “Trading Gurus” From a Hedge Fund Manager

Experienced traders stole almost $ 1 million from their clients

Experienced traders stole almost $ 1 million from their clients

  • Scammers presented themselves as cryptocurrency traders and promised high profits for trading in BTC

  • At least 27 clients were scam victims

  • Russians are victims of cybercriminals as often as Europeans and Americans

International consortium of news organizations developing transparency standards.

Four residents of Texas, USA are accused of fraud in the amount of 989 thousand dollars. A lawsuit against criminals was brought forward by the Commission on Express Trading.

Sky-high profits, bonuses and other goodies

Experienced traders stole almost $ 1 million from their clients

According to the text of the complaint filed with the US District Court for the Southern District of Texas, a gang of four members operated on the crypto market from August 2016 to October 2017. During this time, the scammers managed to deceive at least 27 clients and get $ 989 thousand.

Four Texas residents: Maiko Alexis Maldonado Garcia, Cesar Castaneda and Rodrigo Jose Castro Molina, as well as Florida resident Joel Castaneda Garcia, organized a criminal group back in 2016. Immediately after that, the criminals opened the Global Trading Club (GTC), which specialized in training traders, as well as in trust management of clients’ investments..

The criminals launched a serious social media advertising campaign. The advertisements said that “experienced traders” have vast experience in working with cryptocurrencies and use “advanced trading technologies using robots” in their work, they are ready to earn money for their clients “24 a day, 7 days a week.” Also, the victims were promised the payment of bonuses depending on the amount deposited.

For those victims who did not agree to give money right away, the scammers arranged trainings in Korean and Spanish, during which they talked about the advantages of the company, as well as the work of the MLM business..

At the moment, the organizers and members of the group have been detained, and charges have been brought against them. The commission demands not only to return the stolen money, but also to pay a fine to the victims, as well as prohibit the participants from engaging in trade. Complaint Pending in Texas District Court.

Cryptocurrencies are a favorite area for scammers

Cases of fraud in the field of cryptocurrencies are not uncommon for a long time, and criminals continue to find victims on the Internet. Most often, people who want to get rich quickly and easily fall for the bait of scammers. Recently, the editorial staff of BeInCrypto reported that the American Securities and Exchange Commission (SEC) froze the assets of Modern Money Team for $ 12 million. The project collected money from investors and spent it on personal needs.

To lull the victim’s vigilance, fraudsters use famous people in advertising their services, who inspire confidence among ordinary users and novice traders. For example, we have already reported that Ryanair CEO Michael O’Leary has been among other notable personalities such as Simon Cowell, Sir Philip Green, Holly Willoughby, Lord Sugar and Jeremy Clarkson, featured in a Bitcoin scam that uses celebrity imagery and trying to involve unsuspecting investors in a cryptocurrency pyramid.

Experienced traders stole almost $ 1 million from their clients

Such scams are also not uncommon in Russia. Earlier this year, two residents of Veliky Novgorod became victims of scammers. They wanted to buy cryptocurrency profitably, but they fell for scammers and eventually lost 1 million rubles. This was reported by the press service of the Novgorod Interior Ministry. Also, the scammers tried to sell ready-made mining farms to the Russians that never existed..

It is worth being extremely careful when it comes to cryptocurrency services. Don’t trust ad headlines that promise huge profits from Bitcoin trading.

Read our review of the loudest cryptocurrency scams and take care of yourself!


All information contained on our website is published in good faith and objectivity, and for informational purposes only. The reader is solely responsible for any actions he takes based on the information received on our website..

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