03 August 2022
BakerHostetler
To print this article, all you need is to be registered or login on Mondaq.com.
This week, the U.S. Department of Justice (DOJ) published a
press release announcing that Michael Stollery, “[t]he CEO of
Titanium Blockchain Infrastructure Services Inc. (TBIS)[,] pleaded
guilty … for his role in a cryptocurrency fraud scheme involving
TBIS’s initial coin offering (ICO) that raised approximately
$21 million from investors in the United States and overseas.”
According to the press release, Stollery admitted that he made a
series of false and misleading statements to the purchasers of
tokens in the TBIS ICO and commingled the ICO investors’ funds
with his personal funds, using a portion of the proceeds for
personal expenses. Stollery pleaded guilty to one count of
securities fraud and faces up to 20 years in prison.
According to reports this week, two major U.S. cryptocurrency
exchanges may be under investigation by government agencies. One
report noted that, according to sources, a major U.S. exchange is
under investigation by the U.S. Securities and Exchange Commission
(SEC) related to certain cryptocurrency tokens listed on the
exchange. Another report provides details on a reported
investigation of another major U.S. cryptocurrency exchange by the
U.S. Department of the…
