Circle Society, a binary options trading company operating with forex pairs and cryptocurrencies, is being treated as a default judgment by a federal court in Nevada. Its main operator and perp David Gilbert Saffron, born in Australia, has been charged with heading a crypto fraud and Ponzi scheme. The CFTC is the organization that brought the case to court.
Circle Society was just another online firm that offered binary options trading, which is in and of itself a very controversial means of investment due to the ease with which one can get enter into a fraudulent scheme.
The case is a common one: Gilbert Saffron’s company offered users unrealistic profits in return of a couple of deposits. At times, this return was as high as 300%.
The scam started out all the way back in 2017, and has defrauded at least 179 clients. The estimated total money stolen is $15.8 million. Some of the money was used to pay back participants of the Ponzi scheme, which would encourage further investments on the users’ part.
The Nevada court demands from the perps to pay restitution of over $14.8 million to the scammed individuals, as well as a disgorgement of an additional $15.8 million. Moreover, the fraudsters will have to pay $1.48 million in civil penalties.