bitseven alexametrics





US Federals raid tech hub office in Michigan for illegal crypto trading

January 09, 2019 02:03:21 - Federal agencies of the United States on December 21 conducted a raid on an innovative technology center in Michigan - The Geek Group for illegal trading of cryptocurrencies. It was reported on the local news outlet Wood-TV on Jan 5. The crypto-related investigation led to uncovering that the founder of the Geek group, Chris Boden was illegally trading cryptocrurrencies from his office, and it was followed by his arrest ten days later, and him having to close down his business.

He made a live public statement on Youtube Saturday night about the reason his business was taken down, but the video was deleted soon afterwards. He was apparently trading virtual currencies from his non-profit organization while not having a proper authorization. The US Federal Bureau of Investigation (FBI) and the Department of Homeland Security(DHS) on the raid had taken away his computers, hard drives and other tech equipment.

Now Boden has to spend at least $100 000 as legal fees to defend himself and in the worst case scenario he might end up facing federal prison time. However, there are no confirmations on the charges and the law enforcement has yet to comment on this issue.

Boden also made statements showing his remorse on the happened situation, but on Jan 6, he posted on Facebook that he will abstain from commenting further for now:

“On the advice of legal council I will not comment further on the Government’s ongoing investigation.”

The Geek Group started its activities on January 1, 2014. It was focused on providing people with programs aimed at developing life-long education, professional access and creative approach in technology.

The company was under heavy criticism by the cryptocommnunity after this crime was uncovered by the Federals. And they basically lost all the support from their Youtube audience.

As the industry keeps growing there are similar cases appearing for individual entrepreneurs facing legal charges. Recently BTCNN reported South Korean police raiding a local firm for illegal crypto coin trading. Apparently, three reputable members of the cryptocurrency exchange were creating fake orders and transactions on the platform.

Last month the CEO of one of the biggest crypto exchange in Romania Coinflux was arrested. He was charged with scams, laundering money and organized crime by the US Federals.

The rising popularity of digital assets introduces more ways for scamming people. And as the industry is still fresh, the knowledge and security are pretty weak for the moment. So the government officials have to watch closely on the various suspicious activities happening in the crypto s

Category: News

Share this:


Enter your email to stay up to date with BitSeven news, update & announcements

Recent posts