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Homepage/Bitcoin News/Founder of WeExchange and BitFunder Was Found Guilty of Security Fraud
BITCOIN NEWSNEWS

Founder of WeExchange and BitFunder Was Found Guilty of Security Fraud

BY Adriana Mavrenko·2 MIN READ·JULY 26, 2018

Jon Montroll was accused of fraud several investors as well as a regulatory body. He stood behind the manipulations of the attacks researches to which his two crypto trading platforms were subjected.

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Founder of US-based cryptocurrency exchanges WeExchange and BitFunder was found guilty of security fraud in which he took part.

Texan Jon Montroll aka ‘Ukyo’ admitted to deceiving investors and the SEC during the course of operating and the subsequent investigations into bitcoin exchange ‘WeExchange’ in Australia and securities investment platform BitFunder.”

Jon Montroll refused to share with the Securities and Exchange Commission (SEC) crucial information about the attack occurred on WeExchange. Moreover, the authorities assume that he intentionally concealed the hack by manipulating the digital currencies on the crypto trading platform. Following further investigations, Montroll has also been identified guilty of manipulating data related to travel and food expenses outside of the law. In this way, Montroll managed to steal Bitcoin (BTC) from the clients trading on his crypto platform.

As reported by CCN:

“Montroll has pled guilty to one count of securities fraud and one count of obstruction of justice, each carrying a maximum penalty of 20 years in prison. The actual duration of the sentence by U.S. District Judge Richard M. Berman will be revealed during an undetermined date in the future.”

District Judge Richard M. Berman went out:

As he admitted today, Jon Montroll deceived his investors and then attempted to deceive the SEC. He repeatedly lied during sworn testimony and misled SEC staff to avoid taking responsibility for the loss of thousands of his customers’ bitcoins.”

It is important to know that such crimes are penalized by law. Unfortunately, as long as they continue to take place, the level of trust in the crypto sector will significantly drop. In this way, we can hardly talk about a general adoption of cryptocurrency.

SOURCE TRANSPARENCY
  • External Source - Referenced domain: weexchange.co
  • External Source - Referenced domain: bitcoin.com
  • Byline - Reported by Adriana Mavrenko
  • Coverage Desk - Primary editorial category: Bitcoin News
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