Nftnews Today Baller Apes Club Founder May Be Sent To Prison For 40 Years

Le Anh Traun, the founding father of the Baller Apes Membership, is dealing with prices for an alleged rugpull rip-off. The US Division of Justice (DOJ) on Friday, July 1, introduced felony prices in opposition to Traun and 5 others concerned in crypto rip-off instances. If convicted, the Baller Apes Membership founder may resist 40 years in jail. Right here’s all you want to know in regards to the alleged Baller Apes Membership.

What occurred with the Baller Apes Membership founder?

In keeping with a statement from the Department of Justice, the Baller Apes Membership founder has been charged with “one rely of conspiracy to commit wire fraud and one rely of conspiracy to commit worldwide cash laundering”. 

This comes after Traun allegedly collected $2.6 million from the Baller Apes Membership collectors, solely to delete the challenge’s web site. Later, he transformed all of the funds into completely different cryptocurrencies, earlier than transferring them throughout a number of blockchains. It is a type of cash laundering referred to as “chain-hopping” used to cover the fund path. 

Not the primary case in opposition to an NFT founder

The Baller Apes Membership rugpull is just one amongst a sequence of rugpulls which were plaguing the NFT trade. The record contains Balloonsville, Blockverse, and Bored Cat Membership, to call just a few. What’s extra, in March 2022, the DOJ introduced the primary case in opposition to an NFT founder. On the the time, the division arrested two 20-year-olds behind the Frosties challenge for an alleged rugpull rip-off. 

“These instances function a vital reminder that some con artists cover behind stylish buzzwords, however on the finish of the day they’re merely looking for to separate individuals from their cash,” mentioned US Lawyer Tracy L Wilkison for the Central District of California. “We are going to proceed to work with our regulation enforcement companions to teach and defend potential buyers about each conventional and stylish investments.”