CFTC Secures Over $30M Judgment Against Operators of Fundsz Crypto Scheme

A U.S. District Court in Florida entered a default judgment against Brian Early and Alisha Ann Kingrey for their roles in the Fundsz digital assets and precious metals scheme. The court ordered the defendants to pay over $30 million in fines after finding they materially lied about expected profits, risks of loss, and past trading performance. According to the CFTC, the operators falsely claimed investor money would be traded using a "proprietary algorithm" and that funds could be withdrawn with interest. The agency noted the defendants actively attempted to walk back their profitability claims and delete the Fundsz social media presence once they learned they were under federal investigation. Consent orders were also entered against two other defendants, permanently banning Juan Pablo Valcarce from trading crypto and ordering the estate of deceased co-defendant Rene Larralde to turn over a residence. "The court further found that when Early and Kingrey learned of the CFTC’s investigation, they began walking back their profitability claims and worked to eliminate Fundsz’s social media presence." — CFTC