Man pleads guilty to promoting BitConnect crypto service in Australia without a license

Australia's John Louis Anthony Bigatton has admitted to participating in promoting cryptocurrency lending services for now-defunct cryptocurrency exchange Bitconnect. Bitconnect was alleged to be a Ponzi scheme and was shut down in 2018, accused of defrauding victims of over $2.4 billion.

The Australian Securities and Investments Commission (ASIC) announced in a statement on May 17th that "Mr. Bigatton provided financial product advice without holding an Australian financial services license or authorization to provide financial services relating to lending platforms."

ASIC stated that as a national promoter for BitConnect, Bigatton provided financial product advice six times in different locations in Australia, four seminars, and two social media posts.

BitConnect was launched in February 2016, operating a platform and a digital currency, and was later shut down in January 2018, with one of its founders ultimately absconding with funds, including Satish Kumbhani, who remains missing. In January 2023, the Southern District of California Federal Court ordered the platform to compensate investors $17 million. (Cointelegraph)