CFTC accuses digital asset platform of engaging in “pig-killing scam”

The U.S. Commodity Futures Trading Commission has accused digital asset platform Debiex of fraud, saying that the institution used a romance scam called a "pig killing plate" to defraud investors of $2.3 million. The CFTC charged Debiex and Zhang Cheng Yang with potentially acting as the platform’s so-called “money laundering vehicle.” The complaint was filed this week in U.S. District Court for the District of Arizona. The CFTC said in a statement on Friday that unknown individuals associated with Debiex lied to gain the trust of potential customers to "cultivate a friendly or romantic relationship" and then asked them to open and fund trading accounts with Debiex. The CFTC said in an accompanying complaint that the promoters involved claimed they had knowledge that could make large profits in crypto assets such as Bitcoin and Ethereum. The regulator said Debiex misappropriated approximately $2.3 million from five customers as part of the scheme. The agency is seeking compensation, restitution of unjust enrichment, monetary penalties, trading bans and permanent injunctions against these customers. (The Block)