Investors Sue Cryptocurrency Robot After Millionaire Loss

Investors Sue Cryptocurrency Robot After Millionaire Loss

Classified as a financial pyramid scheme by a group of 37 investors, a cryptocurrency robot and its owner were sued in the São Paulo court after suffering a millionaire loss.

The alleged robot, dubbed “Data AI”, belonged to a company that raised money over the internet. In attracting customers, the company claimed to have robots specialized in automated cryptocurrency trading that worked 24 hours a day.

For example, customers downloaded an application to invest in the company, where they contributed the values. However, after the suspected robot froze the recordings, the case had major repercussions in Brazil.

Many clients eventually asked for a police investigation to be opened, while others went to court to claim their rights.

Group of 37 investors seeks justice to block robot cryptocurrencies that harmed millionaire

Promises of high and fast returns on investments often cause problems for investors. The so-called financial pyramids mainly work on the greed of the victims, who hope to get rich quickly.

In the case of the Data AI investor group, the suspicion of fraud worsened with the withdrawal of withdrawals in May 2022. In the lawsuit pending in the court of São Paulo, investors claim that they lost BRL 1.2 million.

After presenting the situation to the judiciary, the judge hearing the case agreed with the investors to carry out blockades. As a result, the assets of the cryptocurrency robot and its owner will be blocked by the court, up to the amount of R$380,000.

The block request sends an official letter to Binance, a cryptocurrency brokerage that must act in accordance with the court if any values ​​are found.

“Thereafter, the financial assets are blocked through the SISBAJUD system in the amount of BRL 380,666.19 in the account of the defendants DATA ARTIFICIAL and CARLOS, unblocking the excess and then removing the urgency line. A copy of this decision will serve as an official letter to the broker BINANCE.COM (B FINTECH SERVIÇOS DE TECNOLOGIA LTDA) for the purpose of blocking crypto assets owned by the defendants Data Artificial Inteliggence Robotics Ltda, CNPJ – 44873 .962/0001 -20 and Carlos Donizete de Souza, CPF XXX, in the amount of R$ 380,666.19, with the funds transferred to an account available to the court.”

The robot and its owner have up to 15 days to challenge the block, otherwise their defense will not be recognized. On Advertising Aqui, the company appears in nearly 300 customer complaints, all about financial fraud and losses.

Cryptocurrency scams in the crosshairs of the law

It is remarkable that things like Data AI, for example, may have their days numbered in Brazil.

This is because, with the advent of the new Law No. 14,478 of 2022, scheduled for June 2023, penalties will be applied for those who commit crimes with cryptocurrencies.

Impunity for crimes involving fraud against investors must therefore end, with fines and prison sentences for those responsible.

Source: Live Coins