Crypto Scam Victims Won’t Get Back Their Lost Money

Dec 27, 2018 at 19:30 Update Date :Dec 27, 2018 at 19:30 UTC

This might be sad news for you if, in case, you have lost your money in any cryptocurrency fraud or scam. The probability of getting back the same money is next to zero, as the Securities and Exchange Commission (SEC) has stated that the victims who have lost their money in crypto scams won’t get back their lost money.

Your Lost Money Won’t Come Back: SEC

As per the reports published in The Wall Street Journal, the Securities and Exchange Commission (SEC) is currently investigating more than 90 crypto scams cases where the users have lost their money. As of now, a crypto investment firm BitConnect is under the eyes of the Security Authorities. The firm has allegations of taking all the money of the investors and not returning back. The more disappointment came when the people associated with the matter told the newspaper that the users will unlikely to get back their lost money. Therefore, all the efforts of the SEC would go in vain.

BitConnect is one the firm which is under the investigation of the SEC and other state regulators. The investigation started in between the time period when the prices of cryptocurrencies were going from all-time highs to career lows.

Anonymity – a reason why the SEC and other state regulatory authorities face difficulties while addressing the scammers. The reports also mentioned about comments of Jay Clayton who is the Chairman of the Securities and Exchange Commission, where he said that the SEC may not be as effective while handling the crypto scammers, and the recovering the funds invested by the users in the virtual tokens.

According to official facts and figures, out of the 90 crypto scams cases, the SEC has recovered just $36 million for the investors. The focus of the investigation is more on the Initial Coin Offerings (ICOs), Ponzi Scheme, and other scams.

Adding to the same note, Robert Cohen, the head of SEC crypto investigations, said that it doesn’t matter how much money we have recovered, but it is important to prevent such scams again, and the cases we filed have sent a strong message in the digital market.

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