A famous Instagram personality had been accused of tricking his followers into sending him millions in Bitcoin.
The FBI claimed that Igbara used his social media profile to trick his followers into selling him their Bitcoin at “attractive, but inflated values,” stated FBI Assistant Director-in-Charge William F. Sweeney, Jr.
But the investigators claim, there was nothing philanthropic with the defendant’s actions.
Igbara gathered nearly one million Instagram followers by posting videos where he handed out massive amounts of cash to random people. Early in January this year, he started offering to buy Bitcoin from his followers “at prices 3.5% to 5% over the market value.”
Igbara stated that he was willing to pay even more because of the limits the cryptocurrency exchanges have on the amount of Bitcoin that their customers could purchase. When the people reached out to Igbara, he provided them with screenshots of supposedly wire transfer confirmations.
The victims then sent him the agreed amounts of Bitcoin, but the investors say, the promised money never arrived – leading the authorities to conclude that the screenshots were fake.
The court documents said that one of the followers allegedly sent Igbara as much as $750,000 in BTC. Aside from Instagram, the defendant had been active on many other social media platforms, including Twitter.
Igbara, whose Instagram account has now been deleted, is now being held on state charges in New Jersey and will appear in the federal court in New York at a late date. If he is convicted, he will face up to 20 years in prison.
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