ICO dolandırıcı, COVID kredilerini manipüle ederek 7 milyon dolar aldı

The attacker responsible for one of the “pseudo-ICOs” created in 2018 pleaded guilty to a 7 million COVID credit scam.

Fraudsters are still one of the main "thorns" for the cryptoindustry, because many people still have not figured out how cryptocurrencies work, as such, which cybercriminals do not hesitate to use.

24-year-old Justin Cheng pleaded guilty by the US Department of Justice for receiving $7M through loans and misleading contributors back in 2018 with his “ICO”.

From May to August 2020, Jung applied for a loan using fake payment and tax returns. According to him, employees of firms owned by Jung received a monthly salary of about $1.5M. Among his two hundred "employees" they found the late coach of the University of Pennsylvania football team and one of the hosts of the Good Morning America.

Except applications for loans to banking structures, Cheng decided to submit relevant applications to the program of the US authorities related to the protection of citizens affected by natural disasters or harm to health, citing COVID-19. As a result, he was provided with $7M in coronavirus assistance for all non-existent employees. He spent some of the money on trinkets such as a Rolex worth more than $40,000, rent flat for $17,000 a month, and a Mercedes executive car.

Digging into the defendant's case, facts also surfaced about his involvement in the ICO fraud in 2018, when he involved people in the ICO of a personal company, providing fake data about the stage of the project. This gave ample reason to be accused of misleading investors for personal gain. Now the would-be businessman faces up to 80 years of jail, and the sentence will be pronounced on August 3, 2021.

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