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Youtube Added to Lawsuit Surrounding Cryptocurrency Scam

BitConnect has been served with a lawsuit involving YouTube as an alleged accomplice to a promotional scam, as recent reports stated. YouTube was accused by plaintiffs of neglecting to protect its users from BitConnect and failing to delete BitConnect content from its platform despite many warnings and requests.


Fraud


BitConnect is being sued by six investors, with the addition of several defendants listed in court documents. Published reports further stated that YouTube was not being sued as a representative of BitConnect content on its site but is being held liable due to its lack of response and the protective measures to defend its users from the advertisement videos uploaded by BitConnect.


Google's media platform was accused of failing to take any action after several complaints were filed against BitConnect content. As everyone knows, YouTube's reward system based on the number of views has contributed to the fraudulent promotional videos which reportedly gathered around 58 million views in total.

Ponzi-Scheme


Florida's Southern Court was host to class-act filed against BitConnect and YouTube as the six suing investors accused BitConnect of provoking a Ponzi-scheme. The company was also accused of failing to register with the United States SEC and racking up costs worth almost $800K in damage.


Apart from providing its own token and monthly business promotions, BitConnect has been out of service for months. While the company does not operate in the United States, it offers its services to citizens within the country which automatically mandates that registration as per federal law. 

2 years ago

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