According to reports, Patrick, who calls himself the "Wall Street Coyote"? On Friday, McDonald pleaded guilty to telecommunication fraud in Brooklyn federal court. He allegedly declared: "I claim to invest it in virtual currency and use it for personal expenses."
Patrick macdonald claimed on social media that he had traded bitcoin (BTC) worth more than $50 million for thousands of customers, which attracted investors to invest in his company Cabbage Technology. Bloomberg reported that patrick macdonald did not invest in the interests of customers, but used the funds for his own use, which cost at least $65,438+094,000.
Richard P. Donoghue, the federal prosecutor for the Eastern District of new york, began to file nine charges against patrick macdonald on March 26th (the day he was arrested).
Donohue said in a press release: "The defendant is suspected of defrauding investors, making false promises and sending false balance sheets to investors to cover up the fact that he stole investors' funds for personal use. "
It is reported that according to the terms of the plea agreement, patrick macdonald will serve two to two and a half years in prison. Since the US Commodity Futures Trading Commission (CFTC) obtained a court order last August, Cabbage Technology Company has been permanently banned for fraud.
Earlier this month, CTFC launched a law enforcement action against a bitcoin investment plan suspected of defrauding $65,438+47 million. According to the Committee, UK-based Control-Finance Ltd cheated more than 65,438+0,000 investors and laundered money for at least 22,858 bitcoins.