BitBoy Crypto Hit with Lawsuit Over $BEN Token Promotions

by | Nov 16, 2024 | Cryptocurrency, Latest News | 0 comments

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Ben Armstrong, the creator of BitBoy Crypto, is facing a class-action lawsuit. Investors accuse him of misleading them into purchasing the $BEN token. The lawsuit claims Armstrong and his associates falsely promoted the token, causing heavy financial losses for many.

The legal action follows an ongoing investigation by the Commodity Futures Trading Commission (CFTC). The CFTC is investigating possible fraudulent activities related to $BEN and 14 other cryptocurrencies. Armstrong, a well-known crypto promoter, heavily advertised the token. Launched in May 2023 by another influencer, ben.eth, the token was initially embraced by Armstrong, who served as CEO until June 2023. However, his promotion of the token quickly became controversial.

CFTC Subpoena and Ongoing Investigation

The CFTC launched its probe into $BEN activities on August 3. The agency issued a subpoena to Hit Network, the company previously associated with Armstrong. The subpoena sought information about trading practices and wallet connections related to $BEN and other tokens Armstrong promoted. This investigation highlights the growing scrutiny of crypto influencers and their involvement in token promotion schemes.

Armstrong’s Admissions and Legal Complications

Armstrong has publicly admitted to accepting payments for promoting tokens like $BEN. He insists that his promotion was not intentional fraud. However, he has acknowledged that some of the projects he endorsed turned out to be scams. This admission has sparked significant backlash, especially as many of his followers lost money on $BEN.

In addition, Armstrong’s promotion of $BEN caused internal tensions at Hit Network. In August 2023, Armstrong was removed as the network’s host due to conflicts over his crypto dealings. His involvement with $BEN has contributed to personal and professional struggles, including issues with substance abuse, legal disputes over a Lamborghini with a former partner, and a defamation suit he filed—and later withdrew—against fellow influencer Atozy.

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What’s Next for Armstrong and $BEN Investors?

With Armstrong’s reputation tarnished and mounting legal challenges, the future of $BEN and its investors remains uncertain. The class-action lawsuit is only the latest issue for the crypto promoter. He now faces serious legal and financial consequences.

As the CFTC continues its investigation and investors await their lawsuit’s outcome, Armstrong’s role in the crypto space is under intense scrutiny. Investors who bought $BEN are hoping for justice and compensation. Armstrong’s legal team will likely mount a defense as the case unfolds.

This case highlights the increasing risks that influencers face when promoting digital assets. The crypto industry already struggles with regulatory uncertainties. Whether Armstrong can recover his reputation or will face further legal trouble remains to be seen.

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