Crypto Scammer Running Blue Bit Banc (BBB) Investment Scam Gets 86-Month Jail Term
Crypto Scammer Gets 86-Month Jail Term
Blake Kantor, a 44-year-old New Jersy based cryptocurrency scammer has been sentenced to 86 months in prison by the United States Department of Justice (DoJ) on July 1. Apart from the jail term, the district court judge also ordered Kantor to pay $806,405 to the victims who invested in his Ponzi scheme and also ordered the forfeiture of $1.5 million, and $153,000 of stolen proceeds.
The scam was being run through a company called Blue Bit Banc (BBB) which offered binary investment option to the customers. It was all or nothing kind of investment provided on the basis of prices of securities, currencies and other investment option at the time of payout. The business model was alright, but the scam was done at the time of payout. Kantor rigged the software program which was made to calculate the payout amount in the company’s favor.
Another scam was done by Kantor by selling ‘Crypto ATM Coin’ to his investors where he claimed that the value of the coins was around $60,000, while in reality, it has no value at all. There is indeed an ATM Coin (ATMC) listed on the CoinMarketCap, but its value is around 2 dollars. Apart from that if you follow the link provided for the crypto token for its website, it suggests that the connection is not secure and following warning is flashed by chrome,
“Your connection is not private. Attackers might be trying to steal your information from www.atmcoin.com (for example, passwords, messages, or credit cards). Learn more.”
Not the First Conviction Related To Dubious Crypto Scam
The recent conviction of Kantor was not the first conviction related to the crypto related scam by the United States Department of Justice. Earlier the DOJ convicted another crypto scam operator called “The Community” who resorted to “Sim Swapping” methods to steal sensitive personal information of many individuals and then use it to scam them of their crypto assets. The group used the SIm Swapping to change the indexed number on the sim, and then use it to bypass the two-factor authentication, and then steal crypto assets from these victims.
The scammer group was charged on several counts including conspiracy to commit wire fraud, wire fraud, and aggravated identity theft. It was estimated that the group was able to steal around $2. Million worth of cryptocurrencies.