TechFlow news, September 11 — According to Decrypt, a U.S. court in Texas rejected Nathan Fuller's bankruptcy application. Fuller admitted to running a cryptocurrency Ponzi scheme through Privvy Investments LLC, involving over $1.25 billion. The court found that Fuller concealed assets, falsified records, and used investor funds for luxury goods, gambling trips, and purchasing nearly $1 million in real estate for his ex-wife.
The U.S. Department of Justice emphasized that bankruptcy proceedings will not serve as a "safe haven" for crypto fraudsters. Although blockchain technology enables tracing of fund flows, legal experts note that investors are likely to recover only a portion of their funds, especially when assets have already been misappropriated or transferred overseas.
