The “worthless” coin proves valuable for government operations.As the world of cryptocurrencies becomes more popular, scammers can also get some of it. Last Friday, the US Commodity Futures Trading Commission (CFTC) announced that it will finance the company responsible for a “worthless” virtual currency called ATM Coin.
They offered a kind of binary option system to benefit the customer, but apparently it was more manipulated than anything else.
The binary options basically give the buyer the right to buy or sell a currency for a certain price within a certain period of time. ATM Coin promised revenue from the charts, which unfortunately were smashed by software, which seems to have a higher weight on the corporate side. This situation made it impossible for a customer to make a profit from the binary option gambling. In addition, they have tried to keep the funds of the users in St. Kitts and Nevis, which makes the tracking of the funds really difficult. In the end, the CFTC fined ATM Coin a fine of $ 4.25 million for fraud and illegal fundraising.
In fact, Facebook has imposed a ban on most binary options and initial coin offerings, as well as most cryptographic conversations, as they pose a high risk of being misleading. “There are many companies that promote binary options, ICOs, and cryptocurrencies that do not currently operate in good faith,” said Rob Leathern, Product Management Director of Facebook. It is clear that the intentions of ATM Coin were not the best, and according to the CFTC complaint, companies must be registered in a chamber of commerce in order to legally operate the business in the United States.