Millions in seized cryptocurrency being sold for victims of BitConnect fraud

Man pleads guilty for cryptocurrency scheme

SAN DIEGO, Calif. (KYMA, KECY) - The United States Attorney's Office will begin to liquidate about $57 million in cryptocurrency, which was seized from BitConnect, a top North American promoter.

This liquidation is in conjunction with the U.S. Postal Investigative Service and makes it the largest single recovery of cryptocurrency to date.

Glenn Arcaro pleaded guilty on September 1, 2021, for participating in a conspiracy involving BitConnect, an investment scheme that defrauded investors of over $2 billion.

Arcaro admitted to earning more than $24 million from the scheme and has agreed to repay investors with his cryptocurrency possessions, including Bitcoin, Ethereum, Litecoin and others.

U.S. Attorney Randy S. Grossman applauded the prosecutors and agencies who helped with this case.

Some local agencies such as the Financial Investigations and Border Crimes Task Force (FIBC), based in the San Diego and Imperial County areas, investigated matters along with the FBI.