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Global Cryptocurrency Ponzi Scheme Defrauds Victims of $100M

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It is reported that six senior executives of Airbit Club, the global cryptocurrency Ponzi scheme, have admitted their role in the global fraud and money launde…

Global Cryptocurrency Ponzi Scheme Defrauds Victims of $100M

It is reported that six senior executives of Airbit Club, the global cryptocurrency Ponzi scheme, have admitted their role in the global fraud and money laundering scheme. The prosecutor said that the scheme defrauded victims of a total of $100 million. Pablo Renato Rodriguez, one of the co-founders of Airbit Club, pleaded guilty on Wednesday. The co-founder Gutenberg Dos Santos pleaded guilty in October 2021 after being extradited to the United States from his native Panama in November 2020. Three sponsors, Cecilia Millan, Karina Chairez and Jackie Aguilar, pleaded guilty earlier this year. Scott Hughes, a lawyer who helped Rodriguez and Dos Santos launder money, pleaded guilty on March 2.

The co-founder and six senior executives of Airbit Club admitted the crime of fraud

Analysis based on this information:


The recent report of the six senior executives of Airbit Club’s admission to their role in the global cryptocurrency Ponzi scheme comes as a shock but not a surprise to those who had been following the case. The scheme, which defrauded victims of $100 million, was a blatant attempt at taking advantage of the hype surrounding digital currencies.

Ponzi schemes are fraudulent investment scams that promise high returns with little to no risk for investors. They rely on the “pyramid” scheme model, where early investors are paid off with the money of subsequent investors. Eventually, the pyramid collapses, and the last investors lose their money.

Airbit Club was a classic Ponzi scheme, with co-founders Pablo Renato Rodriguez and Gutenberg Dos Santos promising investors high returns in exchange for investments in their cryptocurrency mining operations. The scheme relied heavily on recruitment, with members earning commissions for bringing in new investors.

The admission of guilt by Rodriguez, Dos Santos, and their associates indicates that the scheme was not only fraudulent but also involved money laundering. Money laundering is the process of converting “dirty” money – money obtained through illegal activities – into “clean” money by passing it through legitimate financial channels.

Scott Hughes, a lawyer who helped launder the money, pleaded guilty earlier this month. The plea means that he faces up to 20 years in prison and a $500,000 fine. However, the six senior executives’ admission of guilt does not mean that justice has been served entirely. Many victims of the Airbit Club scheme will never recover their money or see the perpetrators brought to justice.

In conclusion, the Airbit Club Ponzi scheme and money laundering operation highlights the need for proper regulation and oversight of digital currencies. It is essential to understand the risks of investing in any technology, including cryptocurrencies, and to do proper research before investing. Cryptocurrencies and other digital assets have the potential for massive gains, but only if the investments are made after careful consideration of all the risks and rewards involved.

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