Winklevoss Twins Hit with Class-Action Lawsuit Over Fraud Allegations

• A group of investors have filed a class-action lawsuit against Gemini and its founders, Tyler and Cameron Winklevoss, accusing them of fraud and other crimes.
• The lawsuit alleges that Gemini offered unregistered securities in the form of interest-bearing accounts and that the Winklevoss twins violated the Exchange Act.
• Gemini halted investor withdrawals and refused to honor any further redemptions, wiping out investors’ assets in the program.

A group of investors have filed a class-action lawsuit against Gemini, a U.S. cryptocurrency exchange, and its founders, Tyler and Cameron Winklevoss, accusing them of fraud and other crimes. The complaint was filed in the Manhattan federal court on Tuesday, alleging that Gemini offered unregistered securities in the form of interest-bearing accounts and that the Winklevoss twins violated the Exchange Act.

In 2015, the twins launched Gemini which included a high-yield program called Gemini Earn. This product allowed clients to deposit their cryptocurrency in exchange for interest. Unfortunately, after the collapse of FTX, Alameda Research, and dozens of other crypto companies last month caused a liquidity problem at Genesis Global Capital, Gemini immediately halted withdrawals for the interest-bearing contract. As a result, investors were unable to access their funds and lost their assets in the program.

The lawsuit claims that the Winklevoss twins fraudulently induced investors to deposit their funds through false and misleading statements about the safety of the program. Furthermore, investors allege that Gemini failed to disclose the risks of investing in their platform, including the potential for Gemini to halt withdrawals and the potential for Gemini to refuse to honor any further redemptions.

The Winklevoss twins are now faced with a class-action lawsuit, which seeks compensation for the losses suffered by investors. While the outcome of this lawsuit is yet to be determined, it serves as a reminder that investing in cryptocurrency carries risks and that investors should always do their own due diligence before investing.

CA Regulator Warns of 17 Crypto Frauds: Exercise Caution!

• The California Department of Financial Protection and Innovation (DFPI) issued warnings against 17 crypto websites and brokers engaged in fraud against California consumers.
• These warnings were issued on the Consumer Alert page on December 27 and 28.
• The warnings were issued to Tahoe Digital Exchange, TeleTrade Options, Tony Alin Trading Firm, Hekamen Ltd./Tosal Markets Limited, Trade 1960, Yong Ying Global Investment Company Limited, Unison FX, VoyanX.com, and ZC Exchange, among other websites.

The California Department of Financial Protection and Innovation (DFPI) has recently issued warnings against a total of 17 crypto websites and brokers that are believed to be conducting fraudulent practices and targeting California consumers. These warnings were released over a period of two days, beginning on December 27 and 28.

The sites that were targeted by the DFPI include Tahoe Digital Exchange, TeleTrade Options, Tony Alin Trading Firm, Hekamen Ltd./Tosal Markets Limited, Trade 1960, Yong Ying Global Investment Company Limited, Unison FX, VoyanX.com, and ZC Exchange, among others. The DFPI stated that these sites “appeared to be engaged in fraud against California consumers” and urged caution when responding to any solicitation offering investment or financial services.

The DFPI had previously issued warnings regarding crypto frauds back in June 2022, when they sent out alerts to more than 26 fraudulent crypto websites. In addition to these 17 sites, two other websites, eth-Wintermute.net and UniSwap LLC, were discovered to be impersonating two well-known cryptocurrency websites.

The DFPI’s warnings came as a result of a growing number of reports of fraudulent crypto activities. As such, the DFPI has urged consumers to exercise extreme caution when dealing with any type of financial or investment services. To check whether a provider is licensed in California, the DFPI recommends visiting the DFPI’s website or the Financial Services Regulatory Authority’s website.

Overall, the DFPI has taken a firm stance against crypto frauds and is committed to protecting consumers from such activities. The DFPI’s warnings against these 17 crypto websites and brokers are a step forward in its efforts to combat fraudulent crypto activities.

BitStarz Player Lands Record Win, Despite North Korean Cryptocurrency Attacks

• North Korean hackers have been targeting cryptocurrency startups, banks, and venture capital firms by pretending to be venture capitalists.
• Cybersecurity firm Kaspersky Lab has uncovered that the Lazarus Group-affiliated hacker group BlueNoroff has deployed malware to attack businesses in the Blockchain, DeFi, and FinTech industries.
• BitStarz Player Lands $2,459,124 Record Win! Could you be next big winner?

In a report released on Tuesday, the cybersecurity firm Kaspersky Lab revealed that the North Korean government-funded hacking operation Lazarus Group has expanded its target list to include venture capital firms, cryptocurrency startups, and banks. The crew associated with the Lazarus Group, known as BlueNoroff, has been stealing millions of dollars in cryptocurrencies by building phony domains and mimicking financial firms and venture capital businesses.

Kaspersky Lab also discovered that BlueNoroff is experimenting with new file types and delivery techniques for its virus. As a result, the group’s cybercrime activities increased after a pause for much of the year. The malicious organization has been targeting businesses in the blockchain, DeFi, and FinTech industries by deploying malware.

The Lazarus Group is a cybercrime organization composed of an undetermined number of North Korean-supervised cybercriminals. Experts say that it was responsible for a large number of cyberattacks between 2010 and 2021. Kaspersky reported that during their investigation into the infrastructure utilized by this gang, they uncovered more than 70 domains. BlueNoroff has also been using increasingly sophisticated techniques in order to evade detection and remain undetected.

At the same time, the BitStarz Player has landed a record win of $2,459,124, leaving many wondering if they could be the next big winner. This reinforces the notion that despite the rise in cybercrime activities related to cryptocurrency, the cryptocurrency market still presents many opportunities for investors.

In conclusion, North Korean hackers are becoming more sophisticated in their attacks against cryptocurrency startups, banks, and venture capital firms. By building phony domains and deploying malware, they have been able to steal millions of dollars in cryptocurrencies. However, despite the rise in cybercrime activities, the cryptocurrency market still presents many opportunities for investors, as evidenced by the BitStarz Player’s record win of $2,459,124.