Bloomberg Law
Feb. 21, 2018, 2:40 PM UTC

CFTC Offers Big Bounty to Crypto Fraud Whistle-Blowers

By Lydia Beyoud

The CFTC is offering hefty monetary rewards to entice whistle-blowers whose tips lead to successful enforcement actions against cryptocurrency-based pump-and-dump schemes.

The Commodity Futures Trading Commission would offer whistle-blowers between 10 percent and 30 percent of any enforcement actions of $1 million or more, it said in a Feb. 15 consumer advisory.

The agency also cautioned consumers to fight the fear of missing out on the potentially lucrative, if highly volatile, cryptocurrency market. “Customers should not purchase virtual currencies, digital coins, or tokens based on social media tips or sudden price spikes,” the CFTC said.

Cryptocurrency ...

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