Glenn Arcaro, who worked for BitConnect, has been given 38 months in prison (just over 3 years).
As the US National Promoter for Bitconnect, Arcaro worked closely with Satish Kumbhani, the founder who was charged.
Arcaro was in charge of getting investors from North America, along with a group of US-based promoters.
The SEC said that Arcaro had stolen about $24 million from investors in BitConnect.
In late 2021, Arcaro pleaded guilty to criminal charges related to BitConnect. This came after he was charged with a crime.
Tyler Hatcher, an IRS-CI Special Agent, said this about Arcaro’s sentence:
Glenn Arcaro and his partners in crime built a worldwide web of lies and fraud.
This web of lies and our law enforcement partners worked hard to untangle this web of lies, and today’s sentencing is a reminder that fraud does not pay.
You’ll get caught, and you’ll end up in jail.
The SEC brought two separate civil fraud charges against Arcaro earlier this year.
Between the criminal and civil cases against him, Aracaro gave up more than $56 million in BitConnect-related cryptocurrency.
BitConnect was a Ponzi scheme worth billions of dollars that fell apart in January 2018.
In April 2017, BitConnect was looked and found that it was a Ponzi scheme.