Trendon Shavers pleaded guilty to defrauding investors out of millions of dollars in what U.S. officials are calling a first-of-its-kind Ponzi scheme involving the bitcoin virtual currency. Shavers, 33, was accused of raising 764,000 bitcoins by promising returns as high as 3,641 percent through his Bitcoin Savings and Trust company. He instead allegedly used the […]

NOVEMEBER 2014, Trendon Shavers, aka “Pirate@40,” was arrested on securities fraud and wire fraud charges stemming from his involvement in a Bitcoin-related Ponzi scheme*. Shavers was the founder and operator of Bitcoin Savings and Trust (BCS&T), which offered and sold Bitcoin-based investments through the Internet. In total, Shavers raised at least 764,000 Bitcoin in BCS&T […]