A Southern Utah man was sentenced to three years in federal prison for wire fraud prosecutors said cost investors millions of dollars and involved converting bulk cash into cryptocurrency through an unlicensed money transmitting business. “The FBI will continue to put victims first by holding offenders accountable and pursuing those who misuse cryptocurrency and unlicensed financial services to exploit others,” said Special Agent in Charge Robert Bohls of the Salt Lake City FBI. His statement comes days ...

President Donald Trump said he has no plans to pardon Sam Bankman-Fried, the former FTX CEO who is serving a 25-year federal prison sentence. Bitcoin stayed close to its recent price range after the comment, which suggests traders did not see it as a market-moving event. The timing stands out, as crypto continues trying to rebuild public confidence after several years of fraud cases and tighter government oversight. Bankman-Fried’s family and legal team had been pushing for a pardon since early 2025, bu ...

Core Insights - The US Bitcoin ATM network is facing significant regulatory scrutiny due to its role in facilitating financial fraud, with Americans losing over $333 million in scams linked to these machines in 2025 [1][2]. Regulatory Response - The FBI reported over 12,000 complaints related to Bitcoin ATMs from January to November 2025, indicating a troubling trend as fraud cases nearly doubled compared to the previous year [2]. - Regulators are now viewing the network of approximately 31,000 kiosks as a systemic risk, rather than merely a consumer education issue, due to the ease with which scammers exploit these machines [3]. Mechanism of Fraud - Scammers direct victims to deposit cash into Bitcoin ATMs, which converts the cash to Bitcoin, making the transfer irreversible and bypassing traditional banking chargeback protections [4]. - The financial impact of these scams is particularly severe among older individuals, who are often targeted by various scam tactics [5]. Public Guidance and Education - In response to the rise in fraud, US agencies like the Department of Financial Protection and Innovation (DFPI) have enhanced public guidance, issuing frameworks to help individuals protect themselves from Bitcoin ATM scams [5][6]. - The DFPI has emphasized that no legitimate organization would request cash deposits into a crypto ATM, marking such requests as scams [6]. Shift in Policy - Policymakers are moving towards stricter regulations rather than relying solely on consumer education, with countries like Australia implementing legislation to limit daily transactions and control the proliferation of Bitcoin ATMs [6][7]. - Industry analysts believe that these regulatory measures are essential to curbing the increasing trend of Bitcoin ATM fraud [7].

Ex-executives of collapsed crypto exchange FTX will be barred from holding top roles at public companies, the Securities and Exchange Commission has said. Wall Street’s top regulator said Friday that former Alameda CEO Caroline Ellison, ex-FTX Chief Technology Officer Zixiao Wang, and former FTX Co-Lead Engineer Nishad Singh had agreed as part of a non-monetary settlement with the SEC to not work as officers or directors of publicly traded firms. Ellison’s ban will be for 10 years, while Singh and Wang ...

The U.S. Securities and Exchange Commission proposed settlement agreements on Friday for key members of FTX co-founder and former CEO Sam Bankman-Fried’s inner circle, whose testimony played a critical role in his criminal trial. The regulator said that it filed so-called proposed final consent judgements in the Southern District of New York with regards to former Alameda Research CEO Caroline Ellison, former FTX CTO Gary Wang, and former FTX Head of Engineering Nishad Singh. Without denying the Commission ...

Core Viewpoint - Cryptocurrency executive Do Kwon has pleaded guilty to fraud related to the $40 billion collapse of TerraUSD/Luna and has been sentenced to 15 years in prison; the judge described the case as "an epic, multi-generational fraud" [1][1]. Group 1 - Do Kwon's guilty plea is linked to the significant financial loss of $40 billion from the TerraUSD/Luna collapse [1]. - The sentencing of 15 years reflects the severity of the fraud, indicating a strong legal response to high-profile financial crimes in the cryptocurrency sector [1]. - The judge's characterization of the case as "epic" suggests a broader implication for the cryptocurrency industry, highlighting the potential for systemic risks associated with such fraudulent activities [1].

Market Overview - The cryptocurrency market experienced a significant crash, with the total market cap falling to $3.13 trillion as of November 20 [1] - Bitcoin (BTC) dropped below the $87,000 mark, reflecting a 2.45% decrease in the last 24 hours [1] Liquidation and Impact - Over the past 24 hours, more than $370 million in BTC positions were liquidated, contributing to a total of over $900 million in crypto positions being wiped out [2] - The market crash has severely affected both long-term investors and small retail traders, leading to substantial losses in their crypto holdings [2] Company Developments - DappRadar, a decentralized application analytics platform, announced its decision to wind down operations due to financial unsustainability in the current market environment [3] - Rental Coins, a Brazilian crypto company, has filed for Chapter 15 bankruptcy in the U.S. to recover assets amid its financial troubles [4][6] Bankruptcy Details - The Chapter 15 bankruptcy filing was made in the U.S. Bankruptcy Court for the Southern District of Florida on November 18, with the aim of tracing crypto transactions and recovering assets lost in a pyramid-style fraud [5][6] - Authorities in Brazil have accused Rental Coins of running a fraudulent investment scheme and mismanaging customer funds, with a former manager already serving a prison sentence for his involvement [6]

Core Viewpoint - The UK's Serious Fraud Office (SFO) has made its first significant arrests in a cryptocurrency fraud case, indicating a pivotal shift in the enforcement of digital asset crimes in the UK [1][2][3]. Group 1: Arrests and Investigations - The SFO arrested two men, one in his thirties in London and another in his forties near Bradford, as part of a joint operation with local police focusing on fraud and money laundering related to the Basis Markets scheme [2][3]. - This investigation marks the SFO's initial major step into addressing cryptocurrency crime, reflecting a growing strategy against digital asset fraud [3]. Group 2: Basis Markets Scheme - Basis Markets raised $28 million through two public NFT-based fundraisers in late 2021, leveraging the surge in NFT market activity during that period [5]. - The first fundraiser in November 2021 promised investors a stake in a new crypto investment vehicle, while the second in December 2021 aimed to create a "crypto hedge fund" using advanced trading strategies [5][6]. - The project abruptly halted in June 2022, with organizers citing "proposed US regulations" as the reason, coinciding with a broader downturn in the crypto market [6][7]. Group 3: Economic Impact and Future Implications - Solicitor General Ellie Reeves emphasized that fraudulent activities in the crypto space pose a serious threat to the UK economy and erode trust in the financial sector [4]. - The SFO has called for victims and whistleblowers to come forward, indicating an expectation of more victims and the potential for setting important legal precedents in cryptocurrency fraud cases [4].

Core Insights - October has been a volatile month for the crypto industry, starting with Bitcoin reaching an all-time high of over $126,000, but later facing challenges due to geopolitical tensions and tariffs proposed by President Trump [1] - Trump's unexpected pardon of Binance founder Changpeng "CZ" Zhao has stirred hope within the crypto community for potential pardons for other figures like Sam Bankman-Fried [1][3] Group 1: Changpeng Zhao's Pardon - Changpeng Zhao, the founder of Binance, was convicted for failing to maintain adequate anti-money laundering standards and sentenced to four months in prison in 2024, but has now received a presidential pardon [2] - Following his prison term, Zhao relocated to Dubai and has now secured his pardon, which may influence the regulatory landscape for crypto firms [2] Group 2: Sam Bankman-Fried's Situation - Sam Bankman-Fried, founder of the now-bankrupt FTX exchange, was convicted of multiple counts of fraud and money laundering, receiving a 25-year prison sentence and ordered to forfeit over $11 billion [8] - There is speculation within the crypto community that Trump might consider pardoning Bankman-Fried, similar to Zhao's case, which could have significant implications for the industry [3][10] Group 3: FTX and Alameda Research - FTX, once the third-largest crypto exchange, collapsed due to financial fraud involving the misappropriation of customer funds, leading to its bankruptcy filing in November 2022 [5][7] - Alameda Research, founded by Bankman-Fried, operated like a hedge fund and was implicated in the misuse of customer funds, with its CEO Caroline Ellison aware of the fraudulent activities [6][9]

Core Insights - EyeOnChain has identified Garrett Jin, former CEO of BitForex, as the whale controlling over 100,000 BTC, linked to a suspected $56.5 million exit scam in February 2024 [1][2] - Jin denies ownership of the funds, claiming they belong to his clients, and asserts he operates nodes for in-house insights [3][4] - The investigation reveals Jin's significant trading activities, including selling over 35,000 BTC for ETH and opening a $735 million BTC short position [3][5] Group 1: Background on Garrett Jin and BitForex - Garrett Jin served as CEO of BitForex from 2017 to 2020, during which the exchange faced accusations of falsifying trading volumes and operating without registration in Japan [2] - BitForex froze withdrawals in February 2024 after approximately $57 million was withdrawn from hot wallets, coinciding with the resignation of CEO Jason Luo [2] Group 2: Whale Activity and Investigative Findings - The whale sold over $4.23 billion in BTC to acquire ETH and opened a $735 million BTC short position on Hyperliquid, strategically timed before a market crash [3][4] - Jin currently holds 46,295 BTC, valued at approximately $5.19 billion, across eight wallet addresses [4] - The investigation traced wallet addresses back to Jin through ENS domains, linking funds withdrawn from exchanges to his tenure at Huobi and the BitForex collapse [1][6] Group 3: Staking and Trading Operations - Jin's trading involved a series of BTC wallets that received over 570,000 ETH, which were deposited into Ethereum's Beacon Deposit Contract for staking through his company, XHash [5] - An ETH staking contract linked to Jin's address was initially funded by an address on Binance Smart Chain, with the first interaction involving a deposit of 32 ETH [6] - Analysis of the wallet that opened the $735 million BTC short position revealed it received funds from an address that deposited $4.1 million in USDC to a Binance deposit address shortly before [7]