Alleged promoter of BitConnect cryptopyramide is being tried in Australia

The Australian securities and investments Commission (ASIC) has filed charges against John Bigatton, who is linked to the promotion of the BitConnect cryptocurrency fraud scheme.

Bigatton is charged with serving an unregistered investment offer, providing financial services without a license, and distributing false statements designed to deceive market participants.

In total, Bigatton is charged with six episodes, which carry a prison term of 2 to 10 years, as well as fines totaling $58,500. In addition, in September, the regulator banned Bigatton from providing financial services for 7 years.

According to the prosecution, Bigatton promoted the BitConnect pyramid until its collapse in early 2018. ASIC notes that at its peak in December 2017, the project's capitalization reached $2.5 billion.

BitConnect was promoted as a crypto lending platform, but in reality it used a multi-level marketing scheme and attracted investors with promises of unusually high returns.