Lucie, Florida, allegedly misled investors by selling “Mining Packages,” promising substantial returns from mining new cryptocurrencies in what MCC described as their international network of crypto mining machines, according to the DOJ press release.
According to a US Securities and Exchange Commission complaint filed last month, Capuci sold mining packages to more than 65,000 investors since at least January 2018.
But instead, the DOJ alleges, Capuci diverted the funds to his own cryptocurrency wallets.
“Cryptocurrency-based fraud undermines financial markets worldwide as bad actors defraud investors and limits the ability of legitimate entrepreneurs to innovate within this emerging space,” said Assistant Attorney General Kenneth A.
Capuci also advertised MCC’s own cryptocurrency, “Capital Coin,” according to the DOJ press release.
The DOJ charged Capuci with conspiracy to commit wire fraud, conspiracy to commit securities fraud, and conspiracy to commit international money laundering.