U.S authorities charge two crypto founders in $650 million scam
2025-07-09 08:03:49
Main Idea
U.S. authorities charged two men for operating a fraudulent crypto investment platform, OmegaPro, which collected over $650 million by promising unrealistic returns and using deceptive marketing tactics.
Key Points
1. Michael Shannon Sims and Juan Carlos Reynoso launched OmegaPro in 2019, promising investors up to 300% returns in 16 months.
2. The scheme involved flashy promotional events across Latin America, Europe, and the U.S., including social media campaigns featuring luxury items and projecting the company logo onto the Burj Khalifa.
3. Victims were misled into believing their funds were being transferred to a new platform called Broker Group as part of restructuring efforts.
4. The founders face a maximum sentence of 40 years each if convicted.
5. The case highlights ongoing regulatory crackdowns on crypto-related financial fraud, with the UK's Financial Conduct Authority recently securing a 12-year prison sentence in a similar case.
Description
U.S. authorities have charged two men for running a crypto investment scam that defrauded thousands of investors. According to an indictment unsealed on Monday, co-founders Michael Shannon Sims and Juan Carlos Reynoso launched the fake investment platform in 2019, ran the scheme for several years, and pulled in more than $650 million before it collapsed. Called OmegaPro, the platform promised investors up to 300% returns in 16 months, claiming elite traders were generating profits through forex ...
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