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Cryptocurrency scammer who sold bogus digital 'coins' pleads guilty in securities-fraud-case
A Brooklyn businessman who tricked investors into buying cryptocurrency coins he claimed were backed by read estate and diamonds pleaded guilty to federal fraud charges Thursday.
Maksim Zaslavskiy, 39, marketed “RECoin” as “The First Cryptocurrency Backed by Real Estate,” and sold another currency, “Diamond” claiming it was “hedged by physical diamonds.”
Investors later learned there was no real estate backing RECoin, and no physical diamonds hedged Diamond, prosecutors said.
And the coins were also not backed by blockchain technology, which is used to securely record bitcoin transactions across a computer network.
Read more: https://www.nydailynews.com/new-york/nyc-crime/ny-metro-cryptocurrency-scammer-guilty-20181115-story.html