DOJ Indicts Two Men for $25M AI Crypto Trading Scam

David Gilbert Saffron and Vincent Anthony Mazzotta Jr. allegedly used investors' funds for personal luxuries, operating under various names including Circle Society and Bitcoin Wealth Management.

• David Gilbert Saffron and Vincent Anthony Mazzotta Jr. have been indicted for allegedly operating a $25-million artificial intelligence (AI) crypto-trading Ponzi scheme.
• The duo allegedly solicited users’ deposits for investment and used them for personal expenditures, including private chartered jet flights, luxury hotel accommodations, private mansion rentals, a personal chef, and private security guards.
• The defendants are accused of operating trading programs under various names, such as Circle Society, Bitcoin Wealth Management, Omicron Trust, Mind Capital, Federal Crypto Reserve and Cloud9Capital.
• Saffron and Mazzotta are charged with conspiracy to commit wire fraud, wire fraud, conspiracy to obstruct justice, conspiracy to commit money laundering, and money laundering. Saffron is also alleged to have committed felonies while on pre-trial release.
• The U.S. Department of Justice (DOJ) has been focusing on boosting the compliance of blockchain entities, monitoring the activities of cryptocurrency exchanges closely.

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