Back

CFTC Sues Wolf Capital and Founder Over $10 Million Crypto Ponzi Scheme

According to the CFTC, Wolf Capital misled over 3,000 investors from 2022 to 2024 with false promises of daily gains, without conducting genuine trading.

Summary

The U.S. Commodity Futures Trading Commission has filed a civil enforcement case in Oklahoma federal court against Wolf Capital Crypto Trading LLC and founder Travis Ford, alleging they operated a $10 million Ponzi scheme from October 2022 to December 2024. The complaint claims the defendants enticed more than 3,000 investors with promises of daily returns up to 3.5% without carrying out legitimate trading activities, using new investor funds to pay earlier participants.

Terms & Concepts
  • Commodity Futures Trading Commission (CFTC): The U.S. federal agency that regulates derivatives markets, including futures, swaps, and certain aspects of cryptocurrency trading.
  • Ponzi scheme: A fraudulent investment operation where returns to earlier investors are paid using funds from newer investors, without real profits.
  • Civil enforcement action: A legal action brought by a regulatory body in a civil court to address violations of laws or regulations, often seeking monetary penalties or injunctions.