New BitConnect Ponzi Scheme lawsuit

Brian Page, a Kentucky resident, has filed the new BitConnect Ponzi Scheme lawsuit this Monday. He is looking into recovering the losses that incurred when the price of BitConnect’s native token, BCC, has dropped 90%.

31 January, AtoZForex There is a new lawsuit that has been filed against BitConnect, the controversial cryptocurrency investment scheme. This is already the second time this month BitConnect receives such a message.

The lawsuit has been filed on behalf of Kentucky resident Brian Page. The document mentioned BitConnect International, BitConnect LTD, Bitconnect Trading LTD and Ryan Maasen as defendants.

The new BitConnect lawsuit has been submitted this Monday. Mr. Page is looking into recovering the losses that incurred when the price of BitConnect’s native token, BCC, has dropped significantly. Earlier this January, the value of BitConnect token has slid 90%, following the news about the exchange shutting down its platform for lending and exchange of cryptocurrencies.

According to the lawsuit, Mr. Page accesses BitConnect of operating a Ponzi scheme. The document notes that investors were asked to transfer their cryptocurrencies to the exchange in return for BCC tokens. This was supposed to act as a primary investment.

BitConnect’s Disclosure 

Mr. Page has cited BitConnect’s statements that it would provide a 3,000 percent return in a year or a monthly return of 40 percent. The cryptocurrency project was using these claims as reasons why investors should use BitConnect, according to Mr. Page.

Page further acknowledges that BitConnect has included a disclosure that investors might not see a return on their deposits. However, the disclosure did not mention reasons why this might happen.

The official filing states:

“Not listed is that disclosure was a risk Bitconnect could unilaterally shut down its lending platform, convert all of people’s investments into BCC, tank the market for BCC by eliminating any future value of BCC, and close up shop.”

The lawsuit also states that Ryan Maasen has acted as an unregistered agent for BitConnect. Allegedly, he had profited from misleading investors about the potential returns. Mr. Page’s suit has been filed in a bid to recompensate for every investor who lost money with BitConnect.

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