Investors file second lawsuit against BitconnectMore …

Investors file second lawsuit against BitconnectMore …

Investors file second lawsuit against Bitconnect

Another class action lawsuit is directed against the UK branch of the Bitconnect cryptocurrency scheme, this time from Kentucky. Writes about it CCN.

Brian Page is trying to sue Bitconnect for an unnamed amount, accusing the company of organizing a pyramid scheme. This is the second lawsuit against a cryptocurrency platform in recent years. At least 100 investors have joined a class action lawsuit, and the “disputable funds” exceeded $ 5 million.

The latest suit was filed in Kentucky District Court on January 29. According to the text of the document, the company was engaged in attracting investors from this American state.

“Bitconnect defrauded thousands of Kentucky and hundreds of thousands of Americans into many millions of dollars through a website called bitconnect.co,” Page writes..

He himself invested $ 100 in Bitconnect in November, adding another $ 5,010 in December. By today, his investments have depreciated to several hundred dollars..

The lawsuit mentions Ryan Maasen of Tulsa, Oklahoma, head of local Bitconnect, who promoted the scheme and “encouraged people to invest on Bitconnect” via YouTube. Maasen, like his colleagues, guaranteed high returns, up to 40% per month and 1% per day, regardless of the behavior of the cryptocurrency market..

However, these promises turned out to be false, and the BCC rate fell by 90% after the regulators of Texas and North Carolina passed orders to close the company, shortly after receiving which it closed its main platforms..

Investors file second lawsuit against BitconnectMore ...

Page claims he had every reason to trust Bitconnect’s promises based on the “boom in cryptocurrency trading” in 2017. Now that the true nature of the offer received by investors has been revealed, the plaintiff says that instead of doing real business, Bitconnect simply “relied on new money from new users, who in turn expected other users to arrive with new money.”.

Like the drafters of the previous statement, Page claims that “Bitconnect’s investments were securities”, but were not registered as such, which means that any commission received from their sale was illegally paid..

The plaintiff wants to get back all invested funds, as well as interest, money spent on lawyers and additional compensation.

Investors file second lawsuit against BitconnectMore ...
Investors file second lawsuit against BitconnectMore ...

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