Court Rules Against Debiex in $2.5 Million "Pig Butchering" Case

The platform was accused of running a romance investment scam, commonly known as "pig butchering".

On March 13, Judge Douglas Rayes approved the CFTC’s request for a summary judgment. The ruling requires Debiex to return around $2.26 million taken from victims and pay an additional penalty of nearly $221,500. The judge also stated that Debiex’s failure to answer the charges was not due to a reasonable excuse.

Did you know?

Want to get smarter & wealthier with crypto?

Subscribe - We publish new crypto explainer videos every week!

What is a Smart Contract? (Explained with Animations)

SUBSCRIBE

ON YOUTUBE

According to the CFTC, Debiex marketed itself as a "Blockchain Network Decentralized perpetual contract trading platform", which promotes futures trading and so-called "Mining transactions".

The scam relied on fake personas, with Debiex’s staff pretending to be successful traders. They engaged in frequent messaging and shared personal photos to make their stories seem believable.

After victims signed up and transferred funds, Debiex provided false account balances and fake trading results to make it appear as if their investments were growing. However, the CFTC stated that none of the trading activity was real, and the deposits were moved between different wallets to hide their final destination.

The scheme reportedly targeted at least five people, who collectively deposited about $2.3 million. Rather than being used for trading, the funds were redirected elsewhere.

Meanwhile, Rowland Marcus Andrade, the founder of AML Bitcoin (ABTC), was recently convicted of wire fraud and money laundering. How did the case unfold? Read the full story.