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Ryan Felton has been indicted by a federal grand jury on charges arising out of two different cryptocurrency-based investment schemes.
“Initial coin offerings can be used to fund innovative and exciting projects that might not otherwise be able to come to life through traditional funding sources,” said U.S. Attorney Byung J. “BJay” Pak. “The defendant promised investors a stake in innovative ventures and allegedly spent investor funds lavishly on personal expenses.”
“This suspect misled investors to believe their money would fund two innovative ventures, but instead, every penny went to support the suspects lavish personal life style,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “It is a sad reminder to investors to be very careful where they entrust their money, but also a reminder to anyone motivated by greed that the FBI and our federal partners are committed to holding them accountable for their actions.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: In 2017 and 2018, Felton promoted initial coin offerings (ICO) for two new entities—FLiK and CoinSpark. ICOs are fundraising events during which the issuers of a unique “token” or “coin” set an amount they want to raise, offer …
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