The U.S. government is set to sell crypto that was seized from the BitConnect case in 2018. The scam which had been carried out in the space of a year is the biggest ever in the crypto space, with over $2 billion lost by victims home and abroad. It was one of the most prominent crypto Ponzi schemes that ran from January 2017 to January 2018.

The scheme promised investors an outstanding 40% return on investment every month, a clear indication of a scam. However, the space was still young enough and with the bull market starting in 2017, a good number of investors got caught up in the scheme.

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What followed was a stretched-out lawsuit against founder Satish Kumbhani and accomplice Glenn Arcaro. Now with the case coming to an end, the Department of Justice is set to auction off some of the seized cryptocurrencies to reimburse those who were affected by the scam.

Selling The Crypto

On Tuesday, the U.S. Department of Justice released a statement revealing its course of action in reimbursing victims of the fraud. The department had initially submitted a grant alongside the U.S. Attorney’s Office for the Southern District of California, seeking authority to liquidate about $56 million worth of crypto that had been seized in relation to the case.

The request was granted by U.S. District Judge Todd W. Robinson, setting in motion the plan to sell and compensate the victims. This amount is…

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