

The head of EmpiresX, a proven Ponzi scheme that has defrauded more than $100 million, has pled guilty in front of the US Department of Justice, admitting to defrauding users by committing securities fraud. One Joshua David Nicholas was the man that faced the court and was identified as heading the crypto-based scheme.
His scheme lied to users that EmpiresX’ proprietary trading platform utilized advanced AI and human capabilities to produce the maximum amount of profit for investors. Soliciting devices were used to lure investors in, the most common one being a false promise of guaranteed profit returns, as well as very misleading social media ad campaigns.
As a classic Ponzi scheme all profit paid to new users came from old ones, and thus many users were mislead by EmpiresX into thinking that their own investments were producing said profit. The minds behind the scheme furthered their claims by sending screenshots of fabricated company account pages and false evidence of trading on a third party trading software. There was even a website to show for the broker’s “funds”, but this too was fabricated.
The CFTC acted also, this time by issuing a civil lawsuit against the Ponzi scheme, and against Nicholas, and two other collaborators of Brazilian decent, Emerson Pires and Flavio Goncalves.
Meanwhile, Joshua David Nicholas is currently facing a five year prison sentence, but as of yet there is no sentencing date.