John McAfee was accused of cryptocurrency fraud
John McAfee was accused of cryptocurrency fraud

The US Department of Justice said: (John McAfee) has filed a lawsuit against John McAfee, an anti-virus pioneer who accuses his company of fraud, misuse of securities and fraudulent programs related to securities fraud. The former John McAfee company still bears his name.

Authorities accused his advisor and bodyguard, John McAfee (Jimmy Gill Watson), of using what is known as a "pumping" system, of using McAfee's Twitter account to artificially boost exchange rates, and concealing the use of McAfee by startups. Promote payment products with pre-made tokens.

Prosecutors uncovered the McAfee and Watson cases, claiming they had generated more than $ 13 million in revenue from these programs, including encouraging Twitter followers to invest in cryptocurrencies like Reddcoin and Dogecoin and their properties and then selling with open interest. U.S. dollar. price.

"McAfee and Watson have used large-scale social media platforms and the enthusiasm of investors in the emerging cryptocurrency market to make millions of dollars through lies and deceit," said American attorney Audrey Strauss.

She added: The defendant allegedly used McAfee's Twitter account to send messages to thousands of subscribers via the platform with the aim of promoting various cryptocurrencies using false and misleading data to conceal genuine motives.

Apparently, McAfee and Watson implemented the plan from December 2017 through October 2018.

McAfee uses its verified Twitter account (which now has nearly a million subscribers) to recommend the currency of the day or the currency of the week.

The indictment states the following: McAfee claims that he does not have shares in these currencies, but previously used Bitcoin to buy a large number of shares and then sell them after the price has risen, which leads to a decrease in the currency's price and making it available to investors will cause losses.

McAfee and Watson face seven charges, with sentences ranging from 5 to 20 years. The criminal charges include cable fraud, conspiracy to commit commodity and stock fraud, and conspiracy to launder money.

McAfee, best known for starting an antivirus company named after him, was arrested last year on tax evasion charges.

The Securities and Exchange Commission (SEC) filed a lawsuit against him in October, accusing him of fraudulently promoting initial coin offerings or ICOs.

Authorities say: McAfee will prove to be a cybersecurity and cryptocurrency expert through his tweets, speeches and the role of the CEO of a publicly traded cryptocurrency company.

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