McAfee and Watson Charged with Cryptocurrency Fraud
John David McAfee and his bodyguard, Jimmy Gale Watson Jr., have been charged with securities fraud over an alleged cryptocurrency pump and dump scheme.
The Securities and Exchange Commission alleges that McAfee and Watson used McAfee's large Twitter following to promote various cryptocurrencies, which they then sold at a profit.
According to the SEC, McAfee and Watson used McAfee's Twitter account to publish messages to hundreds of thousands of his Twitter followers touting various cryptocurrencies through false and misleading statements. They allegedly made false claims about the cryptocurrencies' potential value, and failed to disclose that they were being compensated for promoting the cryptocurrencies.
As a result of the alleged scheme, McAfee and Watson are accused of making millions of dollars in illegal profits.
The SEC has charged McAfee and Watson with violating the anti-fraud provisions of the federal securities laws. They face a maximum penalty of five years in prison and a $5 million fine.
McAfee and Watson have denied the allegations.
Coindesk
Ccn Com
Komentar